IBM today announced a new financing program, including buyback of used equipment, attractive lease terms and no payments until 2011, to help current credit-qualified Oracle-Sun and HP customers in India migrate to upgradeable systems of IBM's new Power® family of workload optimized servers and storage offerings.
This new program, provided by IBM Global Financing, helps clients easily and affordably acquire new mid-range and, high-end IBM Power Systems™ and storage offerings. It also includes IBM cash-back for new or used equipment, attractive lease terms and no payments until early 2011 for credit-qualified clients. The program expands opportunity for thousands of Oracle-Sun and HP customers in India following a successful launch in the US last month.
IBM will provide clients with cash-back opportunities for specified old Oracle-Sun and HP equipment1, which can be applied to new Power Systems and storage lease payments. Used and old HP and Sun systems will be processed, dismantled or sold as parts and scrap on the secondary market. Additionally, credit-qualified clients can benefit from a interest-free payment deferral and avoid payments until April 20112 on their new Power & Storage infrastructure to accommodate a seamless move to IBM systems.
Through leases and loans, IBM Global Financing helps clients convert large upfront investments into a stream of monthly payments to make budgeting easier and more predictable. By leasing equipment from IBM Global Financing, clients preserve cash for other strategic investments- growing their core business, funding additional innovation or staying competitive.
“Cash back opportunities with competitive leasing rates and deferrals will make it easy for Indian businesses to migrate to the new IBM's workload optimized systems,” said Sapan Jain, Country Executive, IBM Global Financing, India/South Asia. “Customers can then rest assured that they have the solid backing of IBM’s continuing investment in R&D for the POWER & Storage portfolio, a well-defined roadmap and the upgrade flexibility they need to protect against technology obsolescence and keep their business growing.”
Through the IBM Global Financing lease program, clients can be confident that their technology expenditure will keep pace with their technology growth, without major up-front cash outlays for incremental capacity increases. Credit qualified clients are able to easily "turn on" additional processing capacity built into the mid-range Power 770 and high-end 780 and 795 Power systems & IBM Storage systems -- without major disruption to their operations -- and experience little or no change to monthly lease payments through a base lease extension. This smooth transition approach for both technology and cash flow allows clients to maximize their investment and achieve higher economic value throughout the IT lifecycle, while avoiding technology obsolescence with affordable mid-lease upgrades and programmatic refreshes.
"At our recycling and refurbishment sites in India, we are prepared to take back several models of HP and Sun equipment," said Sapan. "We will extract as much value as we can for the customer. The money can be applied to IBM systems, software and services. Financing can smooth out up-front transition costs, helping to better match costs with expected benefits."
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The new high-end Power systems are designed to manage the most demanding workloads and emerging applications. The new systems – servers, software and IBM's industry-leading PowerVM™ virtualization capabilities – allow customers to better manage ever-increasing amounts of data in an interconnected world and to conserve energy and floor space in burdened data centers.
IBM has an unmatched migration capability for customers moving from non-IBM servers to IBM Systems. In the first half of 2010, we concluded over 500 competitive migrations to IBM Power Systems. More than 2,600 companies have switched from other vendor platforms to IBM Power Systems since IBM established its Migration Factory program four years ago.
IBM Global Financing is the world's largest technology financier with $36B assets and provides the broadest portfolio of IT financing and asset management solutions that deliver greater economic value throughout the technology lifecycle.
About IBM Global Financing
For more information please visit: www.ibm.com/financing
About IBM
For more information please visit: http://www.ibm.com/systems/smarter.
Note to editors
IBM Global Financing offerings are provided through IBM India Pvt. Ltd. in India to qualified commercial and government clients. Rates are based on a client's credit rating, financing terms, offering type, equipment type and options, and may vary by country. Other restrictions may apply. Rates and offerings are subject to change, extension or withdrawal without notice.
- Designated Sun and HP Systems include but not limited to: SUN – Sun SPARC Enterprise T5220/Sun SPARC Enterprise T5240, the UltraSPARC T1 based Sun SPARC Enterprise T200 and Sun M9000. HP – The entire family of HP servers including the Proliant DL380G5, and HP Superdome. Enterprise owners are encouraged to contact an IBM Global Financing representative to ascertain if a particular Sun or HP Server product applies under this program.
- The term of the Fair market value lease is 36 months, with 1st payment due in April 2011. Eligible hardware: IBM Power 770 server (9117-MMB), IBM Power 780 server (9117-MHB) and IBM Power 795 (9119-FHB) that are acquired by customers for the return of designated non-IBM systems from Hewlett- Packard or Oracle-Sun Microsystems. This program is valid until Dec 31st 2010 but can be withdrawn from market at any time. The offer is limited to FMV transactions greater than USD $25,000, for credit qualified customers only.