Forgot your password?
typodupeerror
IBM Businesses Hardware

IBM's x86 Server Business Back On the Market 71

Posted by Soulskill
from the just-throw-it-on-ebay dept.
itwbennett writes "It was widely reported last year (including on Slashdot) that IBM attempted to sell off its x86 server business to Lenovo, which seemed logical as Lenovo had bought out the IBM's PC business a decade ago. However, the two firms could not come to financial terms and the deal was never struck. Well, the rumors have started up again, only this time Lenovo has some competition, as Dell and Fujitsu are now being thrown into the mix as possible suitors."
This discussion has been archived. No new comments can be posted.

IBM's x86 Server Business Back On the Market

Comments Filter:
  • the rumors have started up again, only this time Lenovo has come competition, as Dell and Fujitsu are now being throw into the mix as possible suitors.

    Come one, that's just sloppy writing there. We can do better than "Lenovo has come competition" and "being thow into the mix".

  • by JCHerbsleb (2881347) on Wednesday January 22, 2014 @12:40AM (#46032741)
    Technically, they still have mainframes, System i, System P, etc. along with the various software platforms such as DB2, RACF, and the various BMC products. I think they are attempting to transform themselves into a "service" organization (similar to what HP is attempting) and divest the hardware / software while focusing on the consulting and outsourced support services.
  • by Anonymous Coward on Wednesday January 22, 2014 @02:18AM (#46033237)

    IBM switched to services over a decade ago. They were the first and largest computer hardware vendor to do it, and other companies have been fruitlessly trying to emulate them. IBM's strategy is, AFAIU, actually studied in business school (anyone with a recent MBA care to chime in?), because they were one of the largest companies ever to successfully make such a fundamental switch to their business model, and their execution was near perfect.

    Yes, IBM still sells mainframes and other systems, but the actual hardware is a small part of their revenue.

    What IBM does is 1) invest in new research and technology, 2) productize, 3) make huge margins for a few years, then when they see commoditization coming around the corner 4) divest themselves of it and switch to integration and consulting.

If a listener nods his head when you're explaining your program, wake him up.

Working...