ROY -- The parent company of Iomega has announced a new partnership with the Chinese company Lenovo, a worldwide maker of personal and industrial electronics.
The partnership will use Iomega's network storage expertise to broaden Lenovo's international position in providing networked computer storage systems.
"At the heart of the joint venture is the Iomega network storage business," said Iomega spokesman Chris Romoser. "The new joint venture will be focused on creating new and exciting network storage products for small- and medium-sized businesses."
Romoser said the partnership will have no impact on Iomega jobs.
Iomega is the Roy-based company that produced the Zip drive and was a central part in the technology boom in the late 1990s. Iomega stock zoomed to hundreds of dollars a share, then crashed when the boom ended suddenly.
Since then, Iomega has concentrated on corporate software storage hardware systems, external hard drives, multimedia drives and removable storage technology.
It was acquired by EMC Corporation, which develops and provides information infrastructure technology and solutions.
In a release issued Wednesday, Iomega and EMC said the partnership would expand EMC's reach into China and "spark innovation and additional R & D in the server and storage markets" by combining the product development talents of both companies.
Lenovo will provide cash to the partnership, while EMC will provide assets and resources from Iomega. Lenovo will hold a majority interest in the new joint venture.
Both companies said there will be no interruption in product delivery and other services during transition to the new partnership, which is expected to be final by the end of the year.