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IBM Makes The First Cell Sale To Non-PlayStation Customer; Fancy Eight-Core Chip; Mercury Computer will use chip in its complex wares in defense, health.(INTERNET & TECHNOLOGY)

Investor's Business Daily

| July 05, 2005 | COPYRIGHT 2005 Investor's Business Daily, Inc. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

Byline: JAMES DETAR

IBM says its Cell chip isn't just a plaything or a PlayStation thing.

In February, IBM, Sony and Toshiba jointly revealed details of the Cell chip, which they've been developing nearly five years.

At that time, Sony indicated it would use Cell chips made by IBM in its upcoming PlayStation 3 game machine, due out in 2006, the first Cell customer.

"People said, "It's great for games. Is it good for anything else?' " said Insight 64 analyst Nathan Brookwood.

Apparently, yes.

Last week, IBM and Mercury Computer Systems said they've signed a multiyear agreement. Under the pact, IBM will help Mercury develop Cell-powered medical and military gear. The products could be out as early as this year.

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