A number of Australian employees of Hewlett-Packard are facing the loss of their jobs as the global computer giant looks to slash its worldwide workforce by up to 30,000.
IBM claims its new Enterprise Linux Server can cut costs by up to 80 percent.
IBM Enterprise Linux Server allows hundreds of Linux virtual servers to run on one System z server, IBM officials claimed.
Depending on the workloads, z/Virtual Machine (z/VM) allows more than three times the number of virtual server instances than x86 virtualisation, they claimed.
Security, control and availability are inherited from the underlying System z platform.
Enterprise Linux Server is available in Enterprise and Business Class configurations, and the incremental price of capacity falls as configuration size increases.
"With 1300 Linux customers, IBM is responding to strong customer appetite for running Linux on System z with a fully dedicated, standalone Linux server. Only the Enterprise Linux Server can provide the environment necessary to handle countless workloads securely and with high availability on such a massive scale," said Tom Rosamilia, general manager of System z at IBM.
"IBM is also showing the long term economic value of the mainframe. Our 'save as you grow' pricing model shows that as the business requirements get bigger, the cost of computing actually gets less expensive," he added.