IBM plans to allow software customers to browse, and buy, via compact disk

Article Abstract:

IBM is planning to introduce an innovative CD-ROM product that will allow customers to purchase software without having to visit a store. CD Showcase, which is similar to products planned by software distributors Ingram Micro and Merisel, is a collection of software packages on one compact disk. If customers would like to purchase one or more of the programs, they call an 800 number to arrange the sale and to receive a special code to unlock the program. The program may be unlocked only once, ostensibly foiling would-be software pirates from distributing unauthorized copies. The company expects to have CD Showcase in stores by the end of 1993. Critics of the system say that it will offer no real time savings because customers will still need to enter stores to obtain new versions of software. Additionally, marketers note that consumers like to go to stores to make purchases, and since the CD-ROMs might keep people out of stores, dealers may be reluctant to carry CD Showcase.

Electronic computers, Usage, Marketing, Product introduction, CD-ROM, CD-ROM disks, Marketing Strategy, Marketing Applications, New Technique

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Lotus gives in and accepts IBM offer of $3.52 billion, a sweetened $64 a share; Big Blue's decisive attack aims to vault company into a networking role

Article Abstract:

Lotus acquiesces to IBM's buyout proposal after IBM increases its offer to $3.52 billion, or $64 per share. Thus, the hostile takeover ends quickly, following a week of intense negotiations. In a surprise move, Lotus' embattled Chmn Jim Manzi, who has shouldered blame for Lotus' continuing decline, is named an IBM senior vice president and will continue to manage Lotus as CEO. Manzi had been expected to depart if a deal was concluded with IBM. Manzi's appointment is expected to placate Lotus employees and Notes developer Ozzie Raymond, but the appointment may cause problems for IBM. Manzi has ben at odds with some Lotus employees and with IBM software executive John M. Thompson.

Software Publishers, Networking Software Pkgs, Mergers, acquisitions and divestments, Lotus Development Corp., Network software, LOTS, Company Acquisition Merger

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