Post-pandemic trends: Edge computing takes center stage

The post-Covid world has seen a sea change in the technological needs of businesses. Technology, and the adoption of innovations have become a focus area for organizations across the board, with more technological leaps having taken place in the past two years than in several years before the pandemic.

Talking about the changing scenario, Wilfredo Sotolongo, chief customer officer, Lenovo Infrastructure Solutions Group (ISG), stated that two significant trends had been witnessed in India’s business landscape over the last two years, impacting the way Lenovo ISG deploys technology. The first is the accelerated migration of applications and workloads towards the cloud, and the second is the emergence of new architectures and new options for deploying applications. The migration of on-premise applications to the cloud has been ongoing for the past decade, but the past two years have compelled companies to speed up the process considerably.

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“The pandemic forced all of us to find a new way of working and having a productive life, and accelerating the migration to the cloud turned out to be the best way to meet those needs. What that did for Lenovo was to rapidly accelerate the growth of the ISG business. We were roughly a $5 bn-a-year business, but last year we did over $7 bn, which is very rapid growth,” said Sotolongo.

Lenovo is reorganizing itself from top to bottom to target the Indian market, paying equal attention to big enterprises and small and medium businesses, he said. As far as the overall IT solutions adoption in India is concerned, smaller businesses are migrating to the cloud faster. “It is simpler for them to adopt the cloud model because they have a standard set of processes that have not been highly customized. But even larger enterprises are pushing the envelope, and opting for the cloud.”

On the emergence of new architectures, he said, “Probably the most striking trend we have observed is the emergence of edge computing, which is providing our clients a new way to capture what’s happening in the environment – ​​whether it’s video, audio, temperature or wind – basically all kinds of analogous data, which allows companies to make more informed decisions about their processes.”

Lenovo’s Edge offerings stem from its PC, data center, phone and services divisions, making for a cross-offering solution that is designed to meet customer needs. “We have created a dedicated unit that is addressing the needs of our clients across these offerings for the edge,” said Sotolongo. While the edge offerings constitute a new and small unit at present, Lenovo will be investing heavily in them over the next two years given the growth prospects.

Lenovo envisions becoming one of the top-five end-to-end IT solutions providers in India and is focused on expanding its PC, phone and services businesses over the next three years. India is one of the markets with the highest growth potential, Sotolongo stressed, especially as the government is proactively supporting the development of information systems and communications architectures. “As the infrastructure matures, people like us will be paying a lot of attention because we want to ride that wave of growth,” he said.

In India, Lenovo logged $2.2 billion in revenue in FY22 (38% yoy growth). Sotolongo said that through the expansion of its ISG portfolio across Edge, Cloud HPC, & TruScale, Lenovo ISG is enabling organizations to achieve an intelligent transformation. ‘Customer Trust’ is one of the key factors driving growth, with the company having become a trusted advisor to businesses for end-to-end solutions.

Going strong in the country

India one of the markets with great growth potential for Lenovo
It clocked 38% yoy growth in the country in the last fiscal
Lenovo is reorganizing itself to target large enterprises and small and medium businesses
The company plans to expand its PC, phone, and services businesses over the next three years
It envisions becoming one of the country’s top-five end-to-end IT solutions providers

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