Joseph Tucci, President and CEO, EMC: Page 14 of 18

Byte and Switch: What did you make of Brocade Communications Systems Inc.'s [Nasdaq: BRCD] acquisition of Rhapsody? [See Brocade Scoops Up Rhapsody.]

Tucci: That's fine. There will be more intelligence in the switch, and there will be functionality to go there. There's a tremendous amount of intelligence that will go into that layer, but into that layer we would include everything to do with EMC ControlCenter, everything we do in NAS. In that layer, replication will happen. Right now, we manage replication in the network but perform it in the array – that's SRDF [Symmetrix Replication Data Facility] – but what do you care? You're a user, what do you care?

Byte and Switch: What are your thoughts on the outsourcing model for storage?

Tucci: I do think bandwidth and storage are somewhat close together. Certainly there's the fixed-content market, so you could picture a company like General Electric with a huge backbone and a lot of technology, and you could picture the other side of that partnership with, say, Verizon Communications Inc. [NYSE: VZ] saying, "I'll give you bandwidth, and control the capacity a lot better." And you can see me getting a piece of that to supply the storage technology. I think the model is particularly good for fixed-content storage, but it's just emerging. I don't think companies are going to say, 'Here, Verizon, hold my fort for me.'

The big companies will do it themselves, two data centers back-to-back with a high-speed link between them. There's so many things happening in this market that, as much money as I am spending, we can't keep up, for Pete's sake. I see these other companies... the statements they make...