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Lenovo and IBM Expand Global Alliance

   

RESEARCH TRIANGLE PARK, NC and ARMONK, NY – May 22, 2007 – Lenovo and IBM today announced the expansion of their global alliance to develop and deliver industry specific, integrated technology solutions for enterprises, small and mid-market (SMB) businesses and individuals. The agreement aligns Lenovo's expertise in building the best engineered personal computers with IBM's extensive IT services and technology capabilities. Under the terms of the alliance, Lenovo and IBM Global Services will jointly deliver end-to-end technology solutions that meet the business needs of clients in industries such as healthcare, financial services, education, retail and government.

The industry solutions sold through IBM Global Services, Lenovo and Business Partners will combine Lenovo PCs with a core group of IBM hardware and software, independent software partner applications, and infrastructure access services from IBM's middleware services, end user services, and maintenance and technical support service units. Service products from IBM offer support and optimization for an entire end user environment, including platforms, devices and end user experience, allowing users to better utilize the benefits of Lenovo-specific tools, such as ThinkVantage Technologies and Lenovo Care productivity tools.

The expanded relationship leverages Lenovo's transactional business model, and technology and market-specific expertise from each company to help IBM capture a larger piece of the small business and consumer markets. Lenovo has introduced its new transaction model in Germany, Hong Kong and India, and will continue its rollout globally throughout the year. IBM and Lenovo will establish a joint innovation team focused on generating innovative solutions that deliver sustained business value for small businesses and enterprises alike.

"This is a significant evolution in our global strategic alliance with IBM," said Rory Read, senior vice president of operations, Lenovo. "We are committed to bringing the quality and reliability of our core ThinkPad and ThinkCentre technologies to enterprises and SMBs around the globe. Through this agreement, customers will now have the opportunity to include the purchase of Lenovo’s best engineered PCs within the context of their overall technology solutions."

This partnership builds on the success of the IBM-Lenovo multi-year agreement, in which Lenovo is the leading provider of personal computers to IBM clients, and where IBM provides financing and end-user support services for those PC solutions.

"Our alliance with Lenovo is consistent with IBM's strategy to be the world leader in providing technology and solutions across industries and in countries around the world," said Towney Kennard, General Manager, IBM/Lenovo Alliance, IBM. "Providing high value, industry-specific technology solutions that combine Lenovo's PCs with IBM end user services, financing and winning solutions offers customers the collective expertise of two world-class technology companies."

IBM will market and sell Lenovo PCs through IBM Global Services, including its strategic outsourcing deals. Lenovo, through IBM, will collaboratively sell its products to customers under the name "Delivered by IBM." Technical support will be provided via IBM Technical Support Centers by highly experienced specialists.

About Lenovo Lenovo (HKSE:0992) (ADR:LNVGY) is dedicated to building the world's best engineered personal computers. Lenovo's business model is built on innovation, operational efficiency and customer satisfaction as well as a focus on investment in emerging markets. Formed by Lenovo Group's acquisition of the former IBM Personal Computing Division, the company develops, manufactures and markets reliable high-quality, secure, and easy-to-use technology products and services worldwide. Lenovo has major research centers in Yamato, Japan; Beijing, Shanghai and Shenzhen, China; and Raleigh, North Carolina. For more information, see www.lenovo.com .

About IBM For more information, please visit www.ibm.com .