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Rackable received court approval to acquire the assets of Silicon Graphics $42.5 million in cash.

The sale was approved in the U.S. Bankruptcy Court in New York. The acquisition is anticipated to be completed by around May 8, 2009. "We are pleased with today's news," said Mark J. Barrenechea, president and CEO of Rackable Systems. "With this acquisition, Rackable will be positioned to solve the most demanding business and technology challenges our customers confront today. We believe we will have a stronger company with differentiated product lines and professional services; reaching commercial, government and scientific sectors on a worldwide basis."

Racklable also extended its OmniStor line of external storage products for Rackable servers and is offering build to order on the storage line for the first time.

Three additional OmniStor products have been added: the SE2024, SE2124 and SE3116 with choices of 2.5" or 3.5" hard drive support, half-depth or standard-depth form factors and AC, DC or redundant AC power.

Each model supports SAS and SATA II drives; the 2U offerings also support Solid State Drives (SSDs). Direct-attached via a 12Gb SAS connection from the server, drives can be configured in RAID or JBOD modes from the server's RAID card or HBA.

"As hard drives continue to grow in size, performance has simply not kept up with capacity," said Deni Connor, founder and principal analyst with Storage Strategies Now. "The support for much larger numbers of 2.5" hard drives in next-generation storage arrays, especially considering the impact of SSDs, allows many users to reach that critical balance between performance and much-needed density."

Geoffrey Noer, vice president of product management at Rackable said: "In addition to performance, these products are extremely energy efficient, allowing data centres to realise substantial power savings in Internet and cloud computing, High Performance Computing, financial services, oil and gas exploration, and digital media environments to directly impact their bottom lines."