Kingston slams Compaq over memory claims

KINGSTON TECHNOLOGY has hit back at suggestions that memory it supplies is not properly tested for the enterprise environment and can also breach server warranties, following claims made by Compaq last week.

That follows a series of articles in the INQUIRER over the last six weeks showing the kind of premium customers can pay by taking the route of buying branded memory, when they can sometimes save thousands of dollars on unbranded modules, which may perform equally well.

Last week, Iain Stephen, Proliant business manager at Compaq UK, told the INQUIRER that while there was a "small premium" on its 1GB memory modules for mainstream servers like the DL380 over, for example, Kingston's memory price, that premium "seems reasonable" over "third party 'untested memory'" and ensured that no warranties are breached.

But that drew a swift response from Kingston Technology, in a detailed rebuttal to Compaq.

An executive at the firm said "Kingston's business is manufacturing memory. Our modules are designed to be 100 per cent compatible, and built to the same exact specification to the server or any other type of system it was designed for."

Further, said Kingston, every module it ships is tested to make sure it is compatible with the systems it is aimed at.

Suggestions that any warranties were breached were simply not true, insisted Kingston. "The warranty of the system our memory is installed in will not be affected by using at compatible components". OEMs (original equipment manufacturers) even published assurances that memory, such as Kingston's do not void system warranties.

Indeed, Compaq itself has such a statement on its own Web site, which you can find by clicking here.

Questions 17 and 33 on this page indicate that warranties on Compaq machines are not affected by using parts not supplied by itself, although the company will not guarantee the parts themselves.

The Kingston executive amplified this by explaining that the only products that may invalidate a warranty are products that do not meet the specifications of the system and that will cause damage to the machine.

"We sold $1.6 billion in memory modules in 2000. We ship more than 2,000,000 modules per months to be installed in all kinds of systems. You would think that if our memory wasn't 100 per cent tested before shipping, would invalidate warranties, and damage machines we would have been out of business years ago."

Kingston questioned why end users should pay a "small premium" of up to four times the Kingston price for a server memory module?

"I would encourage consumers to educate themselves on facts rather than 'fear, doubt and uncertanty myths' still implanated by a few sales representatives before they make the decision to buy their server memory," the firm said.

The firm claimed that purchasing managers of large corporations were repeatedy told that using Kingston products would void guarantees. "This forces customers to pay unreasonable prices for their OEM server memory. The fact is that the warranty, will remain valid if you use compatible components."

There's a document on the Kingston site that goes into this in more detail

Laws both in the USA, the UK and Europe protected firms from these claims, said Kingston. "Customers do have a choice on brands and cannot be forced to buy overpriced memory."

Indeed, all three territories have laws that prevent so called "tie-in" over voiding warranties by using competitive products.

µ

See Also
Compaq strikes back at memory charge
Compaq joins 'mile high' memory club With links to other companies charging for memory upgrades