We’ve all heard the phrase, “one man’s loss is another man’s gain.” It seems to be ringing true when it comes to the big news surrounding the IBM x86 sale to Lenovo. HP and Dell are pouncing on all of the stragglers the uncertainty is creating for IBM partners and customers. That’s the way business works; when someone else trips, capitalize by being better. Comfort is where the majority goes; there’s less of a risk. This is exactly why Dell and HP’s profits have started to grow.
The last thing you want to do as a business is come off as unreliable. This is an immediate red flag to customers on every level, and conducting business after giving off signs that there’s instability is like pushing your clientele, one-by-one, off the ship. Dell has been one of the companies pulling up in a lifeboat as each IBM partner and customer takes the dive. Dell has been silently proactive in its attempts to target IBM’s customers and partners, and as a result, Dell’s business through the channel has been up by about 30%. HP created “Project Smart Choice” in May to offer wavering IBM partners an opportunity to convert business from IBM to HP before contracts expire. But many of IBM’s existing customers and partners are weary of the transition to Lenovo and are starting to jump ship all on their own.
As is always the case, there’s a lot being said about this whole thing. IBM is telling its consumers that Lenovo is the best option because Lenovo has the capacity to grow the business into something it’s never been before. With these statements, it’s also suggesting that companies like HP and Dell will not be able to keep up once Lenovo hits the ground running. Furthermore, IBM believes HP will be overtaken by Lenovo in the server business after a few years. On the other hand, HP and Dell are actually increasing their revenues and do not appear to be phased, as their profits are going up because many partners are unsure about foreign control over their product. Even with the increased revenue, the main reason why IBM feels as though HP is an uncertain option is that it’s patents have gone down in the last few years by about 24%, while Lenovo’s has increased in a similar time frame by about 131%.
Because the picture is not black and white, there’s not a singular business that has the most certainty based off the consumer’s needs. Looking outside in, each has flaws associated with them and the partners and customers need to be aware that other options outside of the OEM realm exist. CentricsIT has the ability to mitigate a great deal of confusion because it operates outside of the channel. This is a huge advantage to take into consideration when looking at options for the Server x business. Still have questions about the IBM – Lenovo Deal? Check out our Infographic and FAQ.
Instead of worrying about what goes where and who gets what, CentricsIT takes out the middle-man and can put your mind at ease. If you are considering another option for your x86 infrastructure, request a quote from Centrics IT. We know you will be pleased with our pricing versus the OEM and our competitors. Each and every one of the Server x products distributed by CentricsIT is backed by a Lifetime Warranty, so you can rest assured that our certified team of trained engineers will be there to assist if any problem should ever arise.