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IBM'S PERSONAL SYSTEMS; A NEW DIMENSION -- A BUSINESS ON THE MOVE --

 IBM'S PERSONAL SYSTEMS; A NEW DIMENSION
 -- A BUSINESS ON THE MOVE --
 NEW YORK, May 13 /PRNewswire/ -- IBM Corporation's (NYSE: IBM) general manager of Personal Systems today outlined a roadmap for industry growth that hinges on creating new sources of value for customers through differentiating technologies.
 James A. Cannavino, addressing a group of computer industry consultants and journalists here, said that his business will prosper to the extent that it leads the evolution toward personal communications and collaboration.
 To that end, Personal Systems since 1990 has shifted the bulk of its investments 180 degrees from an emphasis on technologies such as processors, memory and storage to ones that add the highest value in this new computing environment, Cannavino said.
 Multimedia and new intuitive user interfaces, such as pen, touch and voice recognition and communications technologies like wireless and infrared combined with robust systems software like Operating System/2(see Note A) (OS/2) and powerful processors like Intel's 486 and IBM's 486SLC and its PowerOpen architecture, will spur new opportunities for growth.
 "We are committed to delivering innovative solutions that set us apart from the competition," Cannavino said. "We are casting our nets wide to capture and exploit critical technologies that will amplify people's natural ability and desire to assimilate information and communicate with others."
 IBM's Personal Systems today is better structured to take advantage of these new growth opportunities, Cannavino said.
 In the five months since IBM Chairman John F. Akers made each of the company's lines of business more independent, Personal Systems has taken aggressive steps to respond faster to the changing marketplace. For example, Personal Systems is now:
 -- selling OS/2 and some entry PC models through an 800 number direct channel.
 -- divided into smaller, more manageable segments, such as portables, local area network (LAN) servers, low-end RISC workstations, etc., run by empowered executives who manage their areas like profit centers, focusing on all aspects of their business, including research, development, manufacturing, distribution, cash and return on assets (ROA).
 -- better focused on original equipment manufacturing (OEM) and alliances to improve returns on new technologies, gain access to new markets and share the financial risk of new technology.
 With a renewed emphasis on return on assets and cash by improving cost/expense, expanding into new distribution channels around the world and being conservative in assumptions about industry growth, Cannavino said that Personal Systems is poised to lead a new dimension of personal computing.
 (A) -- Indicates trademark or registered trademark of the International Business Machines Corporation.
 -0- 5/13/92
 /CONTACT: Tara Sexton of IBM, 914-642-4662/
 (IBM) CO: International Business Machines Corporation ST: New York IN: CPR SU:


GK-DB -- NY015 -- 9542 05/13/92 10:00 EDT
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Publication:PR Newswire
Date:May 13, 1992
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