Lenovo, the world's second-largest supplier of personal computers, is taking a big step to expand its reach in the global server and storage system markets through a broad partnership with United States-based EMC.
The two companies announced in Beijing yesterday a three-pronged strategy to combine key resources and boost efficiency in delivering their products to companies around the world.
EMC, the world's biggest storage systems maker, and Lenovo will jointly create a server technology development programme to accelerate the Chinese company's capabilities in producing x86 standard servers. These products will also be embedded in selected EMC storage systems.
In addition, Lenovo agreed to become a contract manufacturer of EMC's network-attached storage (NAS) line and a reseller of these products to its customers across mainland China. That reseller arrangement will later be expanded to other markets worldwide.
Yang Yuanqing, the chairman and chief executive of Lenovo, said the partnership would give the company 'strong back-end [production] capabilities and business foundation in servers and storage'.
Market research firm IDC forecast total server sales on the mainland of 1.35 million units this year and sales of disk-storage systems of US$1.65 billion. Worldwide server shipments are predicted to reach 8.53 million units this year, and disk-storage system sales to hit US$26.71 billion.