China attempts to purchase IBM

nobody · Post by **nobody** » January 28, 2005, 2:03 am

http://news.ft.com/cms/s/0c096060-70d4- ... 511c8.html

Lenovo, China's biggest maker of personal computers, had the good fortune to announce its $1.75bn (€1.3bn, £929m) takeover of IBM's personal computer division in December, when Washington politicians were on holiday. But unfortunately for the company, the acquisition of the iconic US brand was not wrapped up before Congress returned.

Aruman · Post by **Aruman** » January 28, 2005, 3:19 am

Wow... if this is for real, I wonder what is going to happen to the stock...

Chmee · Post by **Chmee** » January 28, 2005, 10:16 am

Buying IBM's PC division is far different from taking over IBM. IBM has never seemed to take PCs as serious as its main business in mainframes/minis/consulting. Supposedly, its indifference is probably one of the main reasons we mostly using windows now rather than OS/2.

http://www.jerrypournelle.com/reports/i ... ap1.html#7

*~*stragi*~* · Post by ***~*stragi*~*** » January 28, 2005, 11:25 am

this is pretty old news i thought?

Post by **Xouqoa** » January 28, 2005, 11:50 am

Oh I thought this thread was going to be about Intercontinental Ballistic Missiles. Guess it was missing a C, though.

miir · Post by **miir** » January 28, 2005, 11:57 am

Aruman wrote:Wow... if this is for real, I wonder what is going to happen to the stock...

IBM announced some time ago that they were getting out of the PC manufacturing business. It has long been their 'loss leader'. Market saturation and a highly competitive market is not condusive to high profit.

If anything, thier stock value will probably increase. Lower net revenue but higher net profits.

Aslanna · Post by **Aslanna** » January 28, 2005, 12:28 pm

It's old news about IBM wanting to sell their PC division. I think the recent concern, and what the article is about, is about who wants to buy it.

But that's just my take on it.

Voronwë · Post by **Voronwë** » January 28, 2005, 12:29 pm

keep shopping at Wal Mart and price yourselves out of the middle class.

masteen · Post by **masteen** » January 28, 2005, 12:50 pm

Voronwë wrote:keep shopping at Wal Mart and price yourselves out of the middle class.

WTF?

Fash · Post by **Fash** » January 28, 2005, 1:01 pm

Voro's drunk at work again!

Sabek · Post by **Sabek** » January 28, 2005, 1:09 pm

Chmee wrote:Buying IBM's PC division is far different from taking over IBM. IBM has never seemed to take PCs as serious as its main business in mainframes/minis/consulting. Supposedly, its indifference is probably one of the main reasons we mostly using windows now rather than OS/2.

http://www.jerrypournelle.com/reports/i ... ap1.html#7

Yea because IBM's consulting divsion has so much to cheer about.
I love that new IBM comercial that says they help banks keep customers secure their clients. Guess that was thought up before they lost a 5 billion dollar contract with a bank.

nobody · Post by **nobody** » January 28, 2005, 1:09 pm

i dunno, i just thought it was shady the way they tried to to do it, while congress was out and all.

archeiron · Post by **archeiron** » January 28, 2005, 1:49 pm

Lonovo Group Press Release wrote:Upon completion of the transaction, Lenovo will have approximately 19,000 employees. Approximately 10,000 current IBM employees -- more than 40 percent of whom already are in China and less than 25 percent of whom are in the United States -- will join Lenovo. The transaction is expected to have minimal impact in the aggregate on employment, benefits and compensation in either company.

It really does make sense for a Chinese company to buy out the IBM PC division considering where the existing IBM employees are based. Once you narrow it down to someone it that region, there really aren't that many options.

Voronwë · Post by **Voronwë** » January 28, 2005, 1:55 pm

Fash wrote:Voro's drunk at work again!

hiccup!