In january 2014, the consortium, jointly with the im (nyse:ibm), announced that it was planning to acquire x86 server operations for ibm, including systemx, bladecenter and flex blade servers and switches, x86-based flex integration systems, nextscale and idataplex servers, as well as related software, blade networks and transport. Through this merger, the consortium will increase revenue by $5 billion per year, will take 14 per cent of the global market share of servers and become the third largest server manufacturer。
In fact, the acquisition of ibm was not the first time, and in december 2004 the consortium re-opened the joint exchange and issued a very significant announcement of the acquisition of the ibmpc operation, stating that ibm had signed an asset purchase agreement with ibm in december 2004. And that “branding” cross-border m&a formally opened the first step towards globalizing m&as and completed the transformation from domestic to global leading manufacturers。
As early as the end of 2004, gartner, an internationally renowned analyst, issued a warning that, starting in 2005, the global pc market would enter a three-year downturn. Until 1994, ibm was the leader in the pc field. Since then, however, pc sales have been declining and losses have increased. By 1998, personal computer operations had lost $992 million. In 2003 and 2004, pc earned approximately 10 per cent of the total operating income of imm, which is no longer its core business. At the same time, pc operations have been in deficit。
At this point in time, the idea of a diversified business strategy has not met expectations at the domestic level. The intense competition in the domestic market has made the union aware of the need to look out for new growth points. To scale up, improve core competitiveness and promote corporate development through an internationalized path。
Importantly, ibm has the technology, the channels, the research and development capabilities, the first-class management team, etc. That it wants to have, and ibm has virtually no overlapping business in the domestic market. Ibm's pc business is very mature in terms of operating systems, and the union has wisely chosen to make ibm's brand independent by inviting ibm's senior vice-president to be theceo。
In december 2004, a press conference was held by irg, inc., announcing the acquisition of the business arm of impc. The federation intends to raise cash through intra-corporate cash and loans to banks. With the completion of this acquisition, the consortium will be the third largest pc manufacturer in the world, with an annual income of about 12 billion to the world's top 500 enterprises. The management of the new company was arranged for head of the ibm ward to serve as the board of directors, and yang yuanqing to serve as the board of directors。
Following the acquisition of ibm's personal computer business, yang yuanqing conducted an in-depth analysis of the reasons why the ibm computer was not profitable: ibm is a service-oriented company with high returns on product inputs, and now that the pc industry has come to the point of efficiency, ibm's previous model is destined to be constantly touched. It is about 14 per cent for personal computers and 24 per cent for products like ibm, although the ultimate loss is due to high company costs and large share. In addition, there is a need for product size to be efficient. Under the current business model, im focuses only on large group customers, does not cover small and medium-sized users, produces hard-to-scale products and suffers from competition with rivals such as dale. The cause of the disease was found, and yang yuanqing soon found a profit-making drug for the federation and soon saw its effects。
After the merger, the union sought to expand its global marketing network and active market outreach strategies by strengthening its product mix and client base; not only dispelled doubts at the beginning of the merger, but also achieved growth in performance, which should be described as a model for the globalization of domestic enterprises. Wang jun ning cleans up
