Lenovo said it has plans to enter the server business abroad as it will license server x86 technology from IBM that targets small and middle sized enterprises.
Lenovo and IBM have signed an agreement that allows the Chinese to
manufacture one- and two-way x86 servers that are based on IBM's x
technology. Lenovo will then distribute the servers under its own brand
name, Infoworld reports. Ray Gorman, executive director of external
communications at Lenovo said that "this will be a new business for
Lenovo as the company does not sell servers outside of China."
IBM said it will continue producing and selling its x servers under its
name. Spokeman Tim Breuer said IBM is not worried about competition
from Lenovo as the Chinese would target mostly small and middle sized
enterprises (SMEs) while IBM has a strong presence in the market of
multinational companies. Lenovo will compete with HP and Dell to win
market share in the x86 server market.
As we reported earlier, Lenovo already sells
its ThinkPad laptops and desktops abroad and has launched its new Idea
Pad in European and Asian countries.