Obama's security chief needs luck; offshoring, outsourcing on the rise

Headlines: Obama' s security chief to face a tough road; offshoring, outsourcing providers gain traction in recession; other IT channel news.

IT channel news in brief for May 27, 2009

Obama' s security chief to face a tough road

The incoming White House cybersecurity czar will face big hurdles, the least of which will be coordinating the security of federal agencies, according to security experts. While the position could reduce interagency squabbles, it could also get bogged down in red tape.

President Barack Obama's choice to fill the seat could be announced as soon as this week, according to SearchSecurity.com.

Offshoring, outsourcing providers gain traction in recession

The cash constraints imposed by the recession may prove a boon to outsourcing and offshoring providers. Flexibility seems to be what's keeping these providers afloat as they lower rates to remain competitive. Forrester Research Inc. conducted a survey of 947 North American and European companies on how the slowdown in the economy is driving decisions and IT spending. The survey indicated that more than 40% of respondents are increasing their application outsourcing efforts, said Christine Ferrusi Ross, vice president and research director at the Cambridge, Mass.-based analyst firm.

"In my view, this is more than cost cutting -- it's about productivity," said Shekar Pannala, CIO of enterprise e-commerce services at The Bank of New York Mellon Corp. The company has a great deal of experience with outsourcing in both China and India, according to SearchCIO.com.

Intel introduces new Nehalem-EX processor

Intel Corp. previewed a new Xeon processor yesterday code-named "Nehalem-EX" that will be produced later this year.

The processor will have as much as eight cores inside a single chip and will support 16 threads per processor and 24 MB of shared cache.

The company claims that the new Nehalem will be more suitable for server consolidation and virtualization environments with up to nine times more memory bandwidth than its predecessor -- the Intel Xeon 7400 platform.

Check out yesterday's IT channel news briefs.

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