Lenovo, EMC in strategic worldwide partnership
INDUSTRY| Aug. 1, 2012, 9:51 a.m.
Lenovo and EMC have announced a broad partnership that enhances Lenovo’s position in industry standard servers and networked storage solutions, while significantly expanding EMC’s reach in China and other key, high-growth markets. The new partnership is expected to spark innovation and additional R&D in the server and storage markets by maximizing the product development talents and resources at both companies, while driving scale and efficiency in the partners' respective supply chains.
The partnership is a strong strategic fit, leveraging the two leading companies’ respective strengths, across three main areas:
- First, Lenovo and EMC have formed a server technology development program that will accelerate and extend Lenovo’s capabilities in the x86 industry-standard server segment. These servers will be brought to market by Lenovo and embedded into selected EMC storage systems over time.
- Second, the companies have forged an OEM and reseller relationship in which Lenovo will provide EMC’s industry-leading networked storage solutions to its customers, initially in China and expanding into other global markets in step with the ongoing development of its server business.
- Finally, EMC and Lenovo plan to bring certain assets and resources from EMC’s Iomega business into a new joint venture which will provide Network Attached Storage (NAS) systems to small/medium businesses (SMB) and distributed enterprise sites.
“Today’s announcement with industry leader EMC is another solid step in our journey to build on our foundation in PCs and become a leader in the new PC-plus era,” said Yuanqing Yang, Lenovo chairman and CEO. “This partnership will help us fully deliver on our PC-plus strategy by giving us strong back-end capabilities and business foundation in servers and storage, in addition to our already strong position in devices. EMC is the perfect partner to help us fully realize the PC-plus opportunity in the long term.”
Joe Tucci, chairman and CEO of EMC, said: “The relationship with Lenovo represents a powerful opportunity for EMC to significantly expand our presence in China, a vibrant and very important market, and extend it to other parts of the world over time. Lenovo has clearly demonstrated its ability to apply its considerable resources and expertise not only to enter, but to lead major market segments. We’re excited to partner with Lenovo as we focus our combined energies serving a broader range of customers with industry-leading storage and server solutions.”
In the joint venture, Lenovo will contribute cash, while EMC will contribute certain assets and resources of Iomega. Upon closing, Lenovo will hold a majority interest in the new joint venture. During and after the transition from independent operations to the joint venture, customers will experience continuity of service, product delivery and warranty fulfillment. The joint venture is subject to customary closing procedures including regulatory approvals and is expected to close by the end of 2012.
MORE INDUSTRY NEWS
Philips ushers in new era of imaging with first-ever digital broadband MRI systemPhilips East Africa and the Diagnostic Imaging Department at Karen Hospital recently inaugurated the Philips Ingenia 3.0T MRI - the first-ever digital broadband magnetic resonance imaging (MRI) solution. Read More
Business Connexion Partners with Kentico to offer Content Management SolutionBusiness Connexion (BCX) today announced it has entered a partnership with Kentico Software, the Web Content and Customer Experience Management provider, to provide customers with leading content management systems developed using the Microsoft Technology stack. Read More
CA Technologies introduces the Management CloudCA Southern Africa has revealed that at the recently held WORLD ’14, CA Technologies introduced the Management Cloud – a broad portfolio of easy-to-use CA applications, delivered from the cloud, that enable customers to make the right portfolio decisions, deliver exceptional service experience and empower the modern, mobile workforce. Read More
Palladium leads the charge for accountantsPalladium Software has partnered with the Southern African Institute of Business Accountants (SAIBA) and will now offer its clients and business partners one year's free membership with the Institute. Read More
Wallettec brings mobile payment solutions to businessFor the first time in Africa, it is possible for businesses to process mobile payment transactions at any Point of Sale and allow mobile money users to pay with their digital or crypto currency not only online but bricks and mortar as well, thanks to Wallettec. Read More
Pamoja and SEACOM – strength in the CloudPamoja, a leading Cloud services company, continues to dominate this area of the market and is progressing in its quest to cultivate a Cloud services marketplace for the continent. The Company is achieving this by leveraging one of its primary differentiating qualities, namely the ongoing investment of network capacity by ... Read More
Acer to meet global carbon emissions reduction goal ahead of 2015 targetWith the use of 100% green electricity by Acer’s U.S. operations, the ratio of green power usage by Acer worldwide will exceed 30% by the end of 2014. Read More
MakerBot Expands 3D printer distribution and sales to South AfricaMakerBot has partnered with Rectron SA to distribute its 3D printers and scanners in the region. Read More
RAD to Exhibit the First Customer Edge Distributed NFV Solution and Ecosystem at AfricaCom 2014RAD has announced that it will be exhibiting the industry’s first dedicated customer-edge Distributed Network Functions Virtualization (D-NFV) solution at AfricaCom 2014. Read More
FEATURED STORYGSMA: half a billion mobile subscribers in SSA by 2020
The number of unique mobile subscribers in Sub-Saharan Africa will pass the half billion mark in 2020, says a new GSMA report.
BEST READ NEWS
IN DEPTHAfrica lags on digital migration
Only three African countries have so far completed the digital migration process, and serious issues are hampering the migration in other nations.
COMPANY NEWSLeading through volatility in Africa
For the businesses that are prepared to face the storm and manage the volatility afflicting the continent, there are still huge rewards to be had from doing business ...