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IBM Announces Smaller z17 and LinuxONE 5 Configurations

As enterprises reckon with a data center squeeze, the new hardware brings the mainframe to a new type of customer

The mainframe isn’t just for corporate behemoths, especially in light of this week’s hardware announcement from IBM.

IBM on July 7 announced new, smaller configurations of its z17 and LinuxONE 5 systems. The new hardware is aimed at organizations that may not be large enough to justify full-scale mainframe systems but still have a need for the performance, security and stability the platform is known for. 

To satisfy that market, the z17 family will welcome a single-frame model ready to be deployed as a complete enclosed unit, in addition to a rack-mounted option that customers can install in their own industry-standard 19-inch racks. On the LinuxONE side, the new form factors are the LinuxONE Rockhopper 5, a scalable, multidrawer system available in rack-mount and single-frame, and its smaller sibling, the rack-mounted LinuxONE 5 Express.

The new additions to the z17 and LinuxONE lines can accommodate up to 82 cores and 18 TB of memory, compared to the maximum of 208 cores and 64 TB in the larger configurations released last year. Like those mainframes, the smaller systems can accommodate IBM’s Spyre Accelerator to support AI workloads on-premises. 

“With these new IBM Z and IBM LinuxONE systems, we’re making it easier to run workloads where they make the most sense, while opening the door for a wider range of organizations to benefit from these technologies for the first time,” said Tom McPherson, GM of IBM Z and LinuxONE. 

General availability (GA) for the new machines is Aug. 12

Who Are the New z17 and LinuxONE 5 Systems For?

IBM’s new offerings are aimed at the following types of users:

Smaller Players in Regulated Industries

While the regulated industries where mainframes are typically deployed—like finance, insurance and healthcare—are characterized by large organizations that need the platform’s security and compliance profile, there are smaller enterprises that could also benefit from those qualities, said Rick Schoonmaker, director of Z and LinuxONE hardware and product management.

“We’re very big in regulated industries. That’s what the target set for a lot of these mainframe clients is, but not all of them are giant banks or insurance agencies. And so there’s an absolute need for a single-frame for a smaller capacity and size standpoint for those clients,” Schoonmaker explained at a press briefing announcing the new hardware. 

Mainframe First-Timers

LinuxONE has been a particularly strong growth driver for IBM’s mainframe business, much of that expansion being attributed to new-to-mainframe clients, Schoonmaker said. “The LinuxONE side of the house has been growing very fast with the newer sets of clients who also need those qualities of service,” he explained. 

The new scaled-down systems, he added, allow those clients to start small and grow. “It allows them to start smaller from a capacity standpoint, a physical footprint standpoint since it is rack-mounted, and also a pricing standpoint. And then it allows them to grow and expand from there,” Schoonmaker said.

Targeted Environments for Existing Large Clients

Large mainframe shops may require systems of a variety of sizes. For instance, banks running large Sysplex configurations also have environments where single-frame or rack-mounted systems are the ideal solution. For example, they may be motivated by data sovereignty regulations that require data—and thus compute resources—to stay within certain geographies, said Andrew Crimmins, IBM Master Inventor and principal product manager for IBM Z.

“There are regulations popping up in different places in the world where a lot of that stuff has to run locally now,” Crimmins explained. “So we’ve seen clients say they want to peel off a certain set of workloads or workloads that apply to people from customers within a specific country.” 

Research and Academic Institutions

For-profit corporations aren’t the only institutions that have a reason to use a mainframe. Research and academic institutions also have sensitive data that needs to be securely processed on-premises, especially with the rise of AI as a research tool. The enhanced variety of mainframe offerings make the platform more accessible to these organizations. 

“With the emergence of generative AI methods, we need the highest levels of performance, efficiency, resiliency and security to safely hold and process the sensitive data sets,” said Dr. Owain Kenway, head of research and development (platform technologies) at University College London’s Advanced Research Computing Centre.

The Data Center Squeeze

IBM is also acknowledging that some organizations may look to the scaled-down offerings as a solution to record-low data center vacancies and rental rates exceeding $400 per kW/month, according to the Global Data Center Trends 2026 report from global real estate investment firm CBRE.

In Q1 of 2026, growth in demand for data center space in Europe outpaced supply, while vacancy rates reached an all-time low in the U.S. despite a 33% year-over-year increase in inventory, CBRE’s report noted. IBMers introducing the new z17 and LinuxONE hardware said the new offerings will help organizations facing that squeeze by providing greater footprint efficiency. 

“From an efficiency standpoint, clients can significantly reduce the infrastructure footprint, their power consumption, their overall costs,” Schoonmaker said. He added that certain IBM clients have seen up to a 65% reduction in total cost of ownership by consolidating their distributed systems into a LinuxONE system. 

Now, after launching the initial z17 and LinuxONE 5 a little over a year ago, IBM is preaching those benefits to a wider segment of potential customers. 

Tina Tarquinio, chief product officer for IBM Z and LinuxONE, kept that spirit of democratization in mind as she summed up the new offerings: “We’re bringing all of the great capabilities that we introduced last year—the Telum II processor, the Spyre Accelerator—and we’re bringing it to a range of form factors. So really everybody, no matter what their use case, can have access to this.” 

Software Announcements

Alongside the introduction of its new mainframe systems, IBM also unveiled two new software offerings. 

IBM Infrastructure Management for Z and LinuxONE (Aug. 14 GA)

From IBM: 

“IBM Infrastructure Management for Z and LinuxONE brings together provisioning, configuration, and operations together. Enterprises can now leverage Terraform and widely adopted Infrastructure-as-Code engineered to automate infrastructure deployments, and orchestrate configurations in a unified user interface with a simple visual I/O topology and configuration while addressing the number of specialists required.”

IBM COBOL Elevate for z/OS (Sept. 18 GA)

From IBM: 

“IBM COBOL Elevate for z/OS built to simplify modernization and optimize performance for COBOL applications running on IBM z17, helping clients get more value from the applications they depend on with no rewrites or specialized skills required, with availability beginning September 18.”


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