IBM's market share in China is not optimistic

Source: Internet
Author: User
Keywords IBM Lenovo acquisitions

Absrtact: Although IBM's latest analysis system analyses Andy Murray's performance on the Wimbledon a little small, IBM's market share in China is not optimistic. Reuters has previously disclosed that Lenovo's low-end server business acquisition of IBM will be completed before the end of this year

Although IBM's latest analytics system--an analysis of Andy Murray's performance on Wimbledon--has been small, IBM's market share in China is not optimistic. Reuters had previously disclosed that Lenovo's low-end server business acquisition of IBM will be completed before the end of this year, the total amount of 2.3 billion U.S. dollars. The deal has now been approved by China's Ministry of Commerce's Antitrust bureau, which has been waiting for US regulators to be more accurate. The same period may also have Lenovo's takeover of Google, Motorola's smartphone business, with a transaction amount of 2.9 billion dollars.

MarketWatch's columnist, Therese Poletti, once mentioned in an article called "IBM's China troubles could is getting worse" IBM's market share in China has been a concern, although investors have been hoping that IBM will be able to make 18 of dollars a share in 2014 and hope to build on the hardware side.

From the third quarter of 2013, IBM's China business revenue plummeted, in the fourth quarter of 2014, earnings showed Asia-Pacific region revenue fell by 16%, according to Business Insider analysis, China-led emerging market revenue fell by 6%:

By the first quarter of 2014, China's business revenues had slipped again, 20%,IBM's CFO Martin Schroeter said at the Morgan Stanley Science and Technology conference in May: "The pace of procurement in China has slowed because of the reform, but we can guarantee that everything will be all right in the future." But no one can predict when this period will come ...

China's market reform is understood to be that a group of companies is testing water to stop using more expensive hardware and software, such as IBM, Oracle and EMC, to use cheaper Chinese proprietary development technology. For example, the Chinese server Manufacturers Wave group, which has been preached before, may be able to occupy a large share of the domestic market, as well as Huawei, which obtains orders from the information Technology Department of State-owned enterprises and banks. In recent years, the use of cloud computing architecture to reduce the cost of information has become a trend, such as Aliyun and wave cooperation in the distributed computing platform.

However, many analysts are not optimistic about the exchange, because the replacement of existing equipment, to the Chinese companies and internet companies developed by the server is a very long process, especially when some suppliers have not met the security and stability of the two major needs.

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