Geekzone: technology news, blogs, forums
Guest
Welcome Guest.
You haven't logged in yet. If you don't have an account you can register now.

Cloud-bound IBM wants to offload low-end servers
Posted on 21-Jan-2014 08:05 by Bill Bennett. | Tags Filed under: News.



Just days after announcing a US$1.2 billion investment in cloud computing, comes news IBM is looking to sell its low-end server business.

The Wall Street Journal reports:

IBM†is exploring a sale of its low-end server business, according to people familiar with the matter, reviving an effort that came close to yielding a deal last year.

Dell is named as a possible buyer.

Operating in the low-end server business is a thankless task. Margins are wafer thin and sales are falling as companies increasingly move workloads to the cloud. You donít need so many servers when Google, Microsoft or other online services handle mail and documents.

Even when companies keep computing jobs in-house, virtualisation technology means they can cram more servers into a single box.

IBM, HP and Oracle all struggle to make money from servers, which makes you wonder why anyone would want to buy IBMís low-end server operation. The low-end server business doesnít even give access to a lucrative customer list. The only buyer I can see is someone who can consolidate the business with their own to win economies of scale.

[digitl 2014]

digitl on Google+

The post Cloud-bound IBM wants to offload low-end servers appeared first on digitl.



comments powered by Disqus


Trending now »

Hot discussions in our forums right now:

New site and UFB plans
Created by cws82us, last reply by NonprayingMantis on 28-Jul-2015 23:15 (93 replies)
Pages... 5 6 7


2degrees broadband plans available now
Created by freitasm, last reply by cruxis on 28-Jul-2015 22:52 (38 replies)
Pages... 2 3


Do I need to have 7 installed to get 10 ?
Created by xpd, last reply by Brumfondl on 28-Jul-2015 21:21 (72 replies)
Pages... 3 4 5


HRV NZ rant!!!
Created by stone2, last reply by raytaylor on 28-Jul-2015 19:18 (24 replies)
Pages... 2


Clone a proprietary proximity card
Created by berridge, last reply by trig42 on 28-Jul-2015 14:05 (43 replies)
Pages... 2 3


What time does windows 10 go live?
Created by gogokr431, last reply by Brumfondl on 29-Jul-2015 01:16 (37 replies)
Pages... 2 3


New cookies stuff bottom of the screen
Created by timmmay, last reply by freitasm on 28-Jul-2015 15:38 (18 replies)
Pages... 2


NO MORE SPARK !!!!
Created by nzmick, last reply by kiwigeek1 on 27-Jul-2015 22:06 (17 replies)
Pages... 2