IBM targets $500 million in chip sales to outsiders, reversing longtime ban
Article Abstract:
IBM will sell its integrated circuits on the open market and license its chip technology to competitors in order to bring in a minimum of $500 million in new annual revenue. The company is reversing its traditional ban on giving outsiders access to IBM chip technology as part of an effort to recover from its current slump. IBM is the world's largest semiconductor maker but has until now kept all its chips for use in its own products. The company should also recoup some of its tremendous investment into semiconductor technology through licensing deals made with a number of companies, including Motorola Inc. IBM may benefit considerably from its new policy, but analysts point out that IBM has no experience in the highly competitive semiconductor industry and that rival companies may now find ways to sell IBM technology at a lower price. IBM has also created a corporate training subsidiary called Skill Dynamics to educate IBM customers about its products.
Publication Name: The Wall Street Journal Western Edition
Subject: Business, general
ISSN: 0193-2241
Year: 1992
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Heirs apparent at IBM share low-key, smooth-gliding style
Article Abstract:
IBM's current chairman, John Akers, has appointed two solid company men to the corporations's powerful management committee, a strong sign that he considers them as leading candidates for his job when he steps down. The two heirs-apparent are quite similar. Both Robert J. LaBant, 47, IBM's top US salesman, and Ned C. Lautenbach, 48, the chief of IBM's Asian operations, are low-key, highly traditional executives who were raised in Ohio. LaBant joined IBM as a sales trainee after graduating from Kent Stae University, and Lautenbach joined IBM as a junior marketer after graduating from the University of Cincinnati. Lautenbach is viewed as the more cerebral of the two and obsessed with quantifying performance, while LaBant is viewed as the better public figure. Given IBM's troubles, Akers may not get a chance to choose his successor.
Publication Name: The Wall Street Journal Western Edition
Subject: Business, general
ISSN: 0193-2241
Year: 1993
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Comment about this article or add new information about this topic:
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