Xyratex Announces New OEM Relationship with Acer, Taiwan's leading globally enabled Information Technology OEM HAVANT, United Kingdom, June 16 /PRNewswire-FirstCall/ -- Xyratex Ltd (NASDAQ:XRTX), a leading OEM provider of enterprise-class data storage subsystems and network technology, today announced a new OEM agreement with Acer Inc., the world's fifth largest IT Equipment and Information System Supplier. Xyratex and Acer's relationship initially focused on the development of Acer's first Fibre Channel to SATA range of storage solutions. Acer has begun shipping Xyratex's 4200 RAID and 4200 JBOD systems in their new Altos S205F and S200F cost effective server storage solutions that are targeted at Acer's rapidly expanding base of small and medium enterprise customers. "We are delighted to be providing Acer with our 4200 solutions," said Jon Haley, Vice President of Sales and Marketing at Xyratex Storage Systems. "Strategically, we feel Xyratex and Acer compliment one another's goals and core competencies. Using IDC data, we have identified a low end storage systems market of $2.9B, growing over 30% per annum to $6.6B by 2008, and we feel confident that our collaboration with Acer allows us to effectively target this market." Xyratex's 4200 solutions combine fibre channel connectivity and low cost SATA drive technology. These high capacity solutions provide enterprise class performance, scalability and redundancy features. Acer's Altos S205F and S200F solutions utilize and expand upon the 4200's key benefits to offer high performance pay-as-you-grow storage. The Altos solutions specifically address the requirements of small and medium sized end users and are available at a highly attractive cost point. "Today's SMBs face challenges similar to those of larger enterprises. They demand cost-effective solutions with high reliability and scalability, without sacrificing on performance," added Evis Lin, Head of Enterprise Products Line, Acer Inc. "Acer is committed to delivering complete, dependable and cost-effective server and storage solutions for the growing demands of SMB customers, and by cooperating with a world-class storage system OEM vendor like Xyratex, will further assure customers of our product quality." Xyratex has begun shipments to Acer, whose Altos S205F and S200F storage solutions are now generally available. About Acer Acer ranks among the world's top five branded PC vendors, designing and marketing easy, dependable IT solutions that empower people to reach their goals and enhance their lives. In 2000, Acer spun-off its manufacturing operation to focus on globally marketing its brand-name products: desktop and mobile PCs, servers and storage, displays, peripherals, and e-business solutions for business, government, education, and home users. Established in 1976, the Acer Group employs 7,800 people supporting dealers and distributors in more than 100 countries. Revenues reached US$4.6 billion in 2003. Please visit http://www.acer.com/. About Xyratex Xyratex is a leading provider of enterprise data storage subsystems and network technology. The company designs and manufactures enabling technology that provides OEM and disk drive manufacturer customers with data storage products to support high-performance storage and data communication networks. Xyratex has over 20 years of experience in research and development relating to disk drives, storage systems and high-speed communication protocols. Founded in 1994 in an MBO from IBM, and with headquarters in the UK, Xyratex has an established global base with R&D and operational facilities in Europe, the United States and South East Asia. DATASOURCE: Xyratex Ltd CONTACT: Stella Chou of Acer Inc., +886-2-86913204, ; or Investor Relations, Brad Driver, +1-408-325-7260, , of Xyratex; or, Curtis Chan of CHAN & ASSOCIATES, INC., +1-714-447-4993, , for Xyratex Web site: http://www.acer.com/

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