RESEARCH NOTE: Understanding Lenovo’s Server Position

In today’s server market, there is much focus on the big three, Dell, HP and IBM, who collectively hold approximately 70% of the unit shipments (68.4% in Q2 2013 according to IDC).  The top two, Dell and HP truly control the market volume with IBM holding a very distant third, having declined over the last few years to just 11% of overall server unit shipments as of Q2 2013.  Talk often focuses on Cisco, who is growing quickly particularly in blade servers but off of a very small base, as they are pushing hard to get themselves into the high volume market. Rarely does the name Lenovo come up unless someone is discussing the IT market in China, but Lenovo remains one of the few players who could break out of the “other” category in the market share reports, even surpassing Cisco and Fujitsu (the current #4 and #5). However, to truly grow share, Lenovo needs to put a concerted effort on servers and has more than a few challenges to overcome.

Table of Contents

  • Executive Summary
  • Lenovo Server SWOT Analysis
  • GRAPHIC: Lenovo Strengths, Weaknesses, Opportunities, Threats
  • Strengths
  • Weaknesses
  • Opportunities
  • Threats
  • The Elephant in the Room (IBM)
  • Recommendations
  • Summary

 Companies Referenced:

  • ARM
  • Bai Du
  • Bao Feng
  • Cisco
  • Dell
  • EMC
  • Extreme Networks
  • Fujitsu
  • Hewlett-Packard
  • Hitachi
  • IBM
  • Intel
  • LANDesk
  • Lenovo
  • Mitac
  • Quanta
  • Samsung
  • Tencent

You can download the paper here.