IBM, Siemens reach agreement to make DRAM computer chip

Article Abstract:

IBM and Siemens AG, of Germany, agree to cooperate in developing 16M-bit dynamic random-access memory (DRAM) semiconductor devices. The agreement, which IBM says is 'open to additional participation' by other companies, could rearrange the European semiconductor industry. New cooperative agreements could involve Siemens, IBM, Philips Electronics or SGS-Thomson Microelectronics. IBM and Siemens plan to invest hundreds of millions of dollars, aiming to share costs and speed production. They hope to convert an IBM chip factory, located near Paris, to 16M-bit DRAM production by the end of 1991. This agreement is only the latest in a series of cooperative arrangements between IBM and Siemens, but industry observers do not expect a comprehensive alliance or merger.

Semiconductor industry, France, International Business Machines Corp., IBM, Computer memory, Contracts, Product development, DRAM (Dynamic random access memory), Memory (Computers), DRAM, Cooperative Agreements

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Nixdorf prepares for Siemens merger; computer firm braces to enter the big leagues

Article Abstract:

Nixdorf Computer AG and Siemens AG are scheduled to officially merge on October 1, 1990, in a move that will create the largest European computer manufacturer. The new company will attempt to become the first, and probably only, European computer maker to compete in the global market. Other European firms such as Groupe Bull, N.V. Philips and Ing. C. Olivetti may be able to compete effectively in Europe, but they do not have the resources to effectively challenge IBM and the Japanese manufacturers in the world market. The merger brings together West Germany's two largest computer firms, but some observers wonder how well the bureaucratic Siemens and the entrepreneurial Nixdorf will fit together.

Computer industry, Mergers, acquisitions and divestments, Strategic Planning, Market Analysis, Nixdorf Computer AG, Merger

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