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IBM customers are already feeling the pain of the x86 server acquisition by Lenovo. Are you?

tammie_aron on ‎07-30-2014 10:37 AM

JimG.jpgThe deal hasn’t even gone through yet, but loyal IBM customers are already feeling the pain of the imminent acquisition of IBM’s x86 server line by Lenovo. Many of those IBM customers joined us at HP Discover in Las Vegas from June 10-13.



We caught up with Jim Gilliam, one of HP’s Converged Infrastructure Specialist’s, who found out that they had plenty to say about how the IBM x86 server acquisition by Lenovo is already hurting them.


Jim, in your discussions with IBM customers about the IBM/Lenovo deal, what did you find to be their main concerns?


There are two concerns that I’m hearing repeatedly. The first is support. The second is price.  


One of the accounts I work with had previous experience with Lenovo after they bought IBM’s PC business back in 2005. They found that the support they had been used to from IBM previously just wasn’t there any more, even though IBM was contracted to do it. When the Lenovo account team came in they appeared to be less focused and had little knowledge of the environment. They didn’t try to understand what the business was trying to achieve and then provide the right solutions. In addition to that, their support pricing jumped significantly which, of course, they weren’t happy about. As a result, because of their previous experience and the uncertainty surrounding the IBM x86 server acquisition, as soon as they heard the announcement they stopped buying IBM x86 servers.


Another account wants to leave IBM for the same reasons. They run a business critical x86 environment with a 6 hour, 24x7 call to repair. When their systems are down, they lose money. So they can’t take any chances. They don’t believe that Lenovo either understands or has the ability to support a business critical environment. They’ve also found the general attitude of the Lenovo sales team to be wanting. The support pricing has crept up significantly in their case as well.


For both of these customers, sticking with IBM/Lenovo seems to be a lose/lose situation.


So, if that’s the case, how can HP help address their concerns and the uncertainty in the market?


Firstly, at HP, we take the time to understand our customers and their business. We really try hard to do what’s right for our customers and their business. Secondly, HP has decades of experience in delivering mission critical solutions right across the board, including  x86 servers. And it’s not just a server issue. Business critical environments include servers, storage, networking, software, management tools and support. Every component is critical and interdependent. And if you don’t have the management tools and services, you can’t support the environment. You can’t become a Business Critical Solution Provider overnight, even if you acquire the technology from someone else. It takes time to put it all together and achieve the consistency customers depend upon. We know. We’ve done it.


When these IBM customers discuss moving to HP as their strategic partner, what is most important to them?


There are three things that customers seem to be looking for in a strategic partner.


The first one is commitment to innovation. HP has a history of that. Don’t forget that Bill Hewlett and Dave Packard started Silicon Valley in a one –car garage in Palo Alto, California. And that tradition for innovation has been with HP ever since. It drives game changing technologies. And that’s what customers are looking for. They want to partner with someone who understands both their business and the technology that can enable the delivery of business outcomes.


Second, HP’s management tools are recognized as being industry leading. HP OneView’s simple, consistent management across servers, storage and networking is a key differentiator for us since it focuses on the way people work, not on how the technology runs. Of course, we can do that because we also have the entire infrastructure stack which neither IBM or Lenovo has. Our innovation around software defined data centers (SDDC) is also of interest because it delivers tangible business benefits that make it compelling to customers.


And lastly, HP’s global service delivery capabilities. With mergers and acquisitions a key part of the game, customers are looking for a technology partner that can support them wherever their business is. And HP can do that. With over 300,000 support staff in 170 countries across the globe, we can support any customer, anywhere and at any time of the day and night. With HP, our customers are never left in the lurch.


Now that you’ve heard from Jim, we’d like to hear from you. Visit the Project Smart Choice website and request a free half-day consulting session to find out what choosing HP as your technology partner can do for your business.

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About the Author


Greetings! I am on the HP Enterprise Group marketing team focused on small and midsize businesses.

on ‎10-31-2014 08:30 PM

Hi it's very usefull

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