IBM is bundling its x86 servers with VMware's newest virtualisation platform, and offering financing packages to lower upfront costs.

The move combines IBM's System x product line, including blade, rack and tower servers, with VMware's vSphere software, which was introduced in April. The new financing options let customers put zero down up front, and finance purchases as small as US$5,000. The financing plans are available for the rest of 2009.

IBM's offer is a "notable exception" to typically poor server financing programmes, and "should be welcomed by business IT customers of most any size," says Pund-IT analyst Charles King.

Despite the proven benefits of x86 server virtualisation, "many organisations fail to take advantage of virtualisation because they lack the resources for entering into financing agreements requiring up-front payments," King writes.

An IBM System x3850 server with VMware would typically retail for US$59,000. IBM is promising the server with vSphere to "qualified customers" for no money up front and monthly payments of US$1,675. IBM says customers can consolidate 70 workloads onto a single x3850 server.

All of IBM's System x and BladeCenter servers are eligible for the special finance plan, and IBM plans to offer financing for its iDataPlex servers later this year.

IT financing and leasing is on the rise worldwide, with IDC predicting that the global market will exceed US$100 billion in 2009, up from US$88 billion last year.

With global IT spending set to drop nearly 11% this year, financing is helping to keep the struggling server market afloat. IBM has said that 42% of all IBM hardware purchases in North America are financed.