Like most of us, the time comes when we need to upgrade our machine and often our first thought is how much is that going to cost me? Let’s face it, if I’m buying some new equipment, I naturally expect it’ll cost me money. Well, that’s not always the case.
Success Story
Recently, we had a customer running their business quite happily on an IBM 9406/825 machine. Three years had gone by, which in their case meant their lease was up for renewal. They’re now in a position where they have to make a final lease payment on the #825 and then pay out the residual. After that, the box was theirs and the only ongoing costs they need to keep paying are the IBM hardware and IBM software maintenance charges.
This is what we managed to do in this particular case.
Firstly, we upgraded the #825 to a brand new IBM 9406/550. Yes it was an upgrade which meant they were able to keep a good deal of the hardware they already had. We supplied a new processor, new memory, faster ethernet cards, about ½ a Tb of new disk an IBM LTO III. We also setup an LPAR for them to use as a development machine.
When compared to the ongoing running costs of the #825, the #550 machine came out in front
For starters, the IBM Software tier they were in dropped from P30 to P20.
Likewise the annual IBM software maintenance charges are less expensive on the i5xx machines compared to the #8xx boxes. We were also able to save them some money on their IBM hardware maintenance agreement.
Wouldn’t you like to be the IT manager that can show the financial controller how to add about $100k to the bottom line and get a brand new machine?
We rolled over their final lease payment and the old residual into a new lease with IBM Global Finance resulting in a saving of over $100,000 in the first year compared to what they were paying. Over the term of their new lease agreement, it was still less expensive to upgrade the machine to an i550 than to keep the #825. It really was a win win. By the time the new lease is over the residual in this case will be $0.00.
Contact Us About Leasing
If you’re in a position that your lease is coming due for renewal, let us have a go and try to work out a deal that can save you money and get you better bang for your buck. IBM Global Finance can lease money for all your IT needs and it doesn’t have to be IBM kit. IBM Global Finance will fund just about any brand of computer hardware and software.
Call us on 1800 777 111.

Upgrade Your IBM 9406/825 And Save $100,000

