 | | A former Bank One employee in Ohio confirms Jack Wade's story about EMC's deliberate sale of faulty boxes to the bank and other customers
Date: Thu, 13 Jan 2005 17:08:01 -0800
To: ron@themayreport.com
Subject: EMC Story .. more info
From: <ddoowright@mac.hush.com>
Hello,
I just read your report about Jack Wade and I have some information
to add to what you
already know. I'm sending this from an anonymous mailer as I don't
want my name
associated with this story.
I was employed at Bank One for a good period of time and dealt with
both Jack and Andy Stein on a regular basis. We had a large crop of 8830's and many of them were affected by the chip problem described in your report. As a matter of fact we had 4 of them fail in a 6 month period and they had to be replaced. However, as Bank employees we didn't know about the chip problem.
While I was there, EMC came in and offered to replace all of our
8830's and older boxes with the new DMX's for "free". This was about 20 million dollars worth of equipment. Bank management agreed, but there was a stipulation. In exchange for the "free" tech refresh, the Bank had to agree to award 80% of it's storage buisness going forward to EMC.
So basically, without ever disclosing to Bank One that there critical data was sitting on faulty equipment EMC turned their liability into a "win" by buying the
Banks future business.
After I left the Bank I ran into an ex-EMC employee and asked why
EMC had been so "generous". He then described in detail the chip problem and stated that EMC decided there was too much potential for exposure because of the number of 8830's on the floor, and that they had to get them out. The problem affected every 8830 manufactured after a certain date, and EMC did indeed, knowingly keep shipping the boxes to customers. He said EMC
wasn't doing this kind of replacement for smaller customers because
they could explain away one or two failures as anomalies. In addition to remaking the
20million back through the guarantee of future business, EMC also stood to make millions more in PS dollars assisting the bank in migrating from all of the old boxes to the new ones.
Of course the reason they gave the bank for wanting to replace the
8830's is that they wanted to be strategic partners with the bank.
As to your first report, an EMC outage cost the Bank $100MM in
fines and lost revenue due to an inability to perform wire transfers. The estimated amount the Bank was able to transfer during the outage was about $5B.
I hope this story does become major news because people should know
what they are getting into when they sign a contract with EMC.
And, you should not have posted Jack's phone number and e-mail
address in your report either. The guy is doing you a favor and you had no right to
publish his personal information.
From now on learn to use your xxxxxxx key in the future over
personal information.
That is why I am sending this via anonymous mailer.
Please feel free to respond. |