Zheng: Not optimistic about ARM architecture server

After completing the acquisition of IBM's x86 business, Lenovo has enhanced its capabilities in the X86 server sector and has multiple products such as the Thinkserver series, IBM x86, etc. What is the company's new plan after the snake Swallow in the server area? Recently, Rui Observation interviewed Lenovo Group China's major customer business Department of mature industry general manager and enterprise-level product marketing general manager Zheng, hoping to get some answers.

1, do not exclude the introduction of ARM architecture server

Data from IDC shows that revenue based on the X86 architecture server has accounted for 80% of the server industry. This is why, Lenovo Group senior vice president, Lenovo China President Chen Xudong stressed that X86 business is the most promising business in the server sector, Lenovo acquisition is a core asset.

But what is Lenovo's plan for a X86 architecture? Zheng In an interview with Sharp observation, said that the current is not very optimistic about the product, because the main advantage of this product is low-power, in addition to see other advantages. However, Zheng Special mention: Lenovo is also based on the ARM architecture server research, and did not give up this potential opportunity.

In fact, this kind of thing is completely understandable. Lenovo will be a lot of products for a long time to project, and choose the right opportunity to launch. For example, Lenovo's wear equipment-smart glasses. This is also estimated for ARM architecture servers.

2,IBM X86 The original business model remains unchanged

Previously, Chen Xudong once mentioned that for IBM X86 business, there are 2 principles: 1 is to adhere to the previous product line, 2 is additional investment. However, Xu Dong also mentioned that there will be some integration of IBM X86 business.

Zheng in the same sharp observation dialogue, a large number of supplements, Zheng said that to ensure that IBM X86 business continued to profit is a focus. After taking over the business, Lenovo will not adjust its business model. This means that Lenovo in doing their own good business customers, IBM X86 Business will adhere to the agency, such as the state, provincial, gold agents and so on.

Sharp observation and analysis that the move to stabilize IBM x86 morale, significant. The reason is that the wave had previously launched a round of i2i operations, with the intention of controlling IBM's channel.

3, the proportion of enterprise-class business in Lenovo Group increased

As we all know, Lenovo Group has made a big adjustment, dividing the whole group into four business groups, namely: PC business Group, mobile Business Group, Enterprise class business group, cloud service business group. In terms of volume, enterprise-class business groups are bigger than cloud services, but they are still smaller in volume than PCs and mobile phones.

However, the engagement of IBM X86 servers will strengthen the strength of the enterprise-class business group, making the business group more resilient in the words of Lenovo's four largest business groups.

From the digital point of view, IBM x86 's annual revenue scale of 5 billion U.S. dollars, is Lenovo's original server business more than seven or eight times times. In particular, IBM's X86 business has a profit margin of 20%, much higher than Lenovo's PC and handset businesses. Based on two aspects of revenue and profit, Lenovo's corporate-class business group will be upgraded to its future position in the company.

4, Lenovo server's opponents are changing

Mergers and acquisitions IBM x86 business, Lenovo Server is basically stuck in the domestic market, its competitors, but also limited in the wave, the dawn of these domestic companies. The merger of IBM's X86 business changed all this.

Thinkserver is most valued in China's domestic market, but IBM x86 is more influential in foreign markets. After the merger, Lenovo's rivals turned from a tidal wave to Hewlett-Packard, and both at home and abroad, with competing products.

Concluding：

Mergers and acquisitions of IBM X86 Business group, so that enterprise-class business in Lenovo Group to gain more voice, and because the merger is a server area of the Snake Swallow Elephant incident, Lenovo to the tentacles of overseas markets, rather than as previously confined to the mainland China.