Nov. 3 (Bloomberg) -- Cisco Systems Inc. and EMC Corp. formed a joint venture called Acadia to build, sell and support products for corporate data centers, intensifying rivalry with Hewlett-Packard Co. and International Business Machines Corp.

The new Vblock products will combine Cisco’s Unified Computing System and other networking equipment with EMC’s storage computers and security software, the companies said today in a statement. The products also will use so-called virtualization software from VMware Inc. and chips from Intel Corp. Those two companies are investing in the venture.

Vblock is aimed at data centers -- the vast rooms of computers that store company files, transmit information and run vital business applications. The venture marks Cisco’s second foray into the market, after the company introduced its first server computer this year.

“What we do is focus on market transitions, and the most important right now is pervasive virtualization,” Cisco Chief Executive Officer John Chambers said in an interview. “You will see us focus on transitions with other companies that can come together with an ability to acquire companies, and to partner.”

With VMware’s Vsphere software, data-center customers can control many devices as a single machine over the Internet. That means companies can shift applications to underused servers or back up information to any device. Vblock will initially be available in three configurations, the companies said.

‘Pools of Technology’

In addition to the Acadia venture, Cisco and EMC formed what they call the Virtual Computing Environment coalition, which will jointly develop and sell products, train consultants and provide product support. The coalition will focus on products that help customers offer so-called cloud computing, or deliver programs and computing power via the Internet.

“When you think of the cloud, it’s liquid pools of technology and software on demand,” EMC CEO Joe Tucci said in an interview. “That’s what we’re enabling.”

Chambers has said that expanding deeper into data centers will fuel his company’s growth. In March, Cisco unveiled its UCS, a combination that used its network gear and its first server computer. UCS worked with EMC’s storage computers and VMware’s virtualization software.

Cisco, based in San Jose, California, developed its own server to be able to link networking, computing and storage operations more closely than can be done with general-purpose computers. That product turned Cisco’s partners Hewlett-Packard Co. and IBM into competitors.

“There are a lot of moving parts in the data center that require a level of partnering beyond just working together,” Zeus Kerravala, an analyst with Boston-based research firm Yankee Group, said in an interview. “Virtualization of the data center means moving workloads across machines, and that requires coordinating with the network and storage components.”

EMC, based in Hopkinton, Massachusetts, gained 12 cents to $16.55 at 4 p.m. in New York Stock Exchange composite trading. Cisco dropped 9 cents to $22.91 on the Nasdaq Stock Market.

To contact the reporter on this story: Rochelle Garner in San Francisco at rgarner4@bloomberg.net

Last Updated: November 3, 2009 16:15 EST