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back to article First the PCs, now System X: Is IBM ready to flog server biz to Lenovo?

Is IBM selling all or part of its x86 server biz to PC giant Lenovo? Nothing has been confirmed by either party, but it sure looks like there’s something in the works. So what might this deal look like? I don’t see IBM selling off the entire System x division to Lenovo. What they’ll sell is the most commoditised and least …

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Anonymous Coward

Re: PC-like servers revenue is dying

"The smart money is in free / open software (e.g. open stack / linux) combined with the selling...."

same story for the last 20 years, it aint gonna happen

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Re: PC-like servers revenue is dying

Given that we are discussing servers, the story of the last 20 years is that of Linux and to a lesser extent windows pushing the other server OS' into various niches.

Are you thinking desktops?

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Boffin

Re: PC-like servers revenue is dying

Dear AC, you've been blind for the last 20 years have you? Because what Eadon is saying is *exactly* what has happened in the server space. Linux has been eating away the commercial UNIX market, and stands pretty tall on the worldwide server OS market. Red Hat and others have made billions out of the Linux Services; IBM has also profited from Linux as well. The ones that have favored Windows over Linux are the ones failing, like HP and Dell.

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Terrible Mistake

The PC business was so price-competitive, IBM risked compromising its reputation for quality by staying there. In the case of servers, X86 benefits from the large desktop market bringing down prices - whereas the PowerPC and the z/Architecture platforms do not. So it would be a huge mistake to be left only with non-competitive entries in the server market; a niche premium-price market will in time shrink, even if it's profitable for the moment.

Instead, IBM should be looking at the declining PC market and the surging laptop market, and the demand for energy efficiency, and it should add a lineup of ARM servers to its offerings sometime in the near future. It doesn't have to be the first - in fact, some other companies are already doing it - but when the ARM server makes sense, IBM should be there.

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