SGI ROLLS OUT $10 MILLION NEW-NAME PUSH: INITIALS ARE SHORTHAND FOR 'SERVERS, GRAPHICS, INSIGHT'

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SGI has a new name: SGI.

A year after Silicon Graphics Inc. began weighing a name change, the company last week adopted its initials as its new trade name. Although the company's legal name won't change, SGI will appear in all advertising and communications materials.

SGI expects to spend some $10 million through June on a global corporate campaign in business and computer publications, said Patrick Tickle, director of corporate marketing.

Ads from McCann-Erickson Worldwide, San Francisco, started last week in The Wall Street Journal.

The name and a new lower-case logo developed by Landor Associates, San Francisco, are the latest ingredients of a turnaround effort under Chairman-CEO Richard Belluzzo, a Hewlett-Packard Co. veteran who joined the ailing business computer marketer in January 1998.

FUNDAMENTAL REPOSITIONING

"We are fundamentally repositioning the company, [and] we are using an identity change as a strategy to get there," Mr. Tickle said.

Part of the goal of the name change is to alter perceptions that the company's only business is graphics workstations. Those workstations, popular in engineering and entertainment production, accounted for just under half of product revenues in the quarter ended Dec. 31, with servers and supercomputers generating the rest.

SGI says it now defines its initials as standing for "Servers, Graphics, Insight." It plays off that last word in a new tagline: "The solution is in sight."

Mr. Tickle said SGI will phase in the new logo and name over 12 to 18 months. The first phase will place the new brand name on ads, Web sites and business cards. The logo also appears on new staff security cards-the designer label worn

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