A startup by the name of SeaMicro has unveiled a server that makes use of the Atom processors that Intel (NASDAQ: INTC) created for powering netbooks. The SM10000 server is the result of three years' engineering efforts, and packs up to 512 of the low-powered Atom Z530 chips running at 1.6GHz. Each processor comes on a specially designed motherboard the size of a credit card, and leverages a special interconnect technology to create a clustered system that SeaMicro says provides up to 1.28 terabits per second of throughput.

The company says that using the Atom processors and its architecture results in a highly scalable system with an energy cost that is 75 percent lower than that of traditional servers. The resultant design is specially suited for use for cloud computing, since such applications tend to be "bursty" in that it rises and drops quickly, explained company CEO Andrew Feldman.

The SM10000 comes as a 10U server and is scheduled for release at the end of July and will cost just US$139,000.

For more on this story:
- check out this article at eWeek
- check out this article at PC World

Related Articles:
Intel to enable even thinner netbooks
Intel announces new CULV processors, plans to lift Atom netbook restrictions
Intel will launch dual-core Atom processor this quarter
Intel positions Atom chip to power small servers, appliances
Intel introduces faster Atom processor
Intel to launch new Atom processors soon