Vendor licenses technology from IBM

Lenovo enters SMB server market

Lenovo has unveiled its intentions to enter the server market with the announcement that it has signed a deal with IBM to licence its x86 technology in its upcoming range.

The agreement will see the two firms producing server hardware, with the Chinese vendor licensing IBM’s technology to use in its own server products, with the first products becoming available later this year.

IBM has denied suggestions that the deal signifies a retreat from the SMB market, which it currently holds around ten per cent of. It was position backed by a Lenovo spokesperson who said that Lenovo was not buying the technology, only licensing, since it is not for sale.

Lenovo and IBM distributor Interface Solutions welcomed the move. Speaking to PC Retail about the move, sales director Rob Tomlin said: "IBM has traditionally struggled to break into the SMB market, but it is an area that Lenovo, thanks to its Thinkpad line, does have a very good reputation in.

"If Lenovo leverages the products well and promotes the range then there is no reason why it couldn’t do extremely well. We see the move as a very positive one, and should help to bring more choice to customers in a market dominated by HP and Dell."

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