IBM and Lenovo Group formally signed the "Patent Use Right Transfer Agreement", which shows that Lenovo Group can sell IBM No.1 and No.2 X servers worldwide except Chinese mainland, and use the Lenovo trademark

. The agreement is an important strategy in the global growth strategy of IBM STG-system x, that is, to seize higher market share in small and medium-sized enterprises, thus creating more market opportunities for IBM's high-end products, IT services and software. It is worth mentioning that IBM and its partners will continue to sell IBM X series products and servers as before.

The following are the main points of the agreement:

Part I:

1. The agreement will help IBM to spread the advanced technology of X server to a broader small and medium-sized enterprise market

, and create more market opportunities for IBM in financial leasing, other products and IT services.

2.IBM will continue to provide all X product manuals-from all-way servers to 32-bit high-performance service

devices.

3. We will get the reward from this authorization and related IGS and GTS agreements.

4. For the revenue from this agreement, IBM will continue to invest in X's technological innovation.

5. Based on 1-way and 2-way servers, IBM and Lenovo Group will provide different IT solutions.

From the customer's point of view, facing more choices, small and medium-sized enterprises, in particular, will help them choose solutions that are more suitable for their own needs.

Part II:

1.IBM authorizes Lenovo Group to produce and sell No.1 and No.2 (including rack+tower) X servers, and allows Lenovo to use its own trademarks.

2.IBM will continue to design, produce and sell all X products with IBM's own trademarks, including direct sales and

partner distribution.

3. This agreement unites the respective core advantages of IBM and Lenovo Group-IBM's advantage is innovative and leading technology; Lenovo's advantage is the market share of small enterprises with less than 5 employees, which is the focus of IBM's development in the future opportunity market.

4. This agreement takes effect everywhere except Chinese mainland.

5. The protocol includes IGF and GTS.

6. Cooperation with Lenovo is part of five global growth strategies of IBM STG, which include:

increasing the market share of IBM blade servers in small and medium-sized enterprises; Strive to create more market opportunities (Web 2. ERA); Recommend leading solutions to

customers; Effectively use the rapid development of market opportunities; Through this agreement, the technology of IBM

will be promoted to small enterprises.

Through the above agreement, we must be clear:

1.IBM will not quit the X server market;

2.IBM will not quit the X-1 and X-2 server markets;

3. Lenovo Group will produce servers with Lenovo trademarks, not for IBM;

4. Lenovo has no right to manufacture and sell IBM blade servers and high-end X servers;

5.IBM did not give Lenovo any authorization about blade servers and high-end X servers.