  We give an overview of the QPACE project, which is pursuing the development
of a massively parallel, scalable supercomputer for LQCD. The machine is a
three-dimensional torus of identical processing nodes, based on the PowerXCell
8i processor. The nodes are connected by an FPGA-based, application-optimized
network processor attached to the PowerXCell 8i processor. We present a
performance analysis of lattice QCD codes on QPACE and corresponding hardware
benchmarks.
