posted on Dec, 8 2004 @ 03:57 PM
IBM has sold eighty percent of its personal computer business to China's Lenovo Group for one and a quarter billion dollars. IBM does not produce
computers in its own factories, contracting the work out to joint venture operations or outside producers. IBM will focus on computer services and
ARMONK, N.Y. - Chinese computer maker Lenovo Group will pay $1.75 billion US in cash and stock to buy more than 80 per cent of IBM Corp.'s personal
Lenovo is already China's biggest PC maker. This purchase will make it the third-largest player in the global market, company president Liu Chuanzhi
Once the leader in PC sales, IBM has fallen to third behind Dell and Hewlett-Packard.
While IBM still designs its ThinkPad and ThinkCentre computers, the company doesn't manufacture its PCs at its own plants. They're built by joint
venture operations or contracted to outside producers.
The sale of the bulk of the PC business marks another step in IBM's shift toward computer services and consulting.
Please visit the link provided for the complete story.
Among others, RCA and Global Crossing are now owned by Chinese companies and now IBM computers will be largely owned by the Chinese. Is America
losing its icons? Many think so and are encouraging the buying public to make sure where their computers are built.
Some experts are suggesting that this move could cause Dell stock to rise by some two to three dollars per share. Clearly, this move by IBM will have
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[edit on 04/12/8 by GradyPhilpott]
[edit on 8-12-2004 by ZeddicusZulZorander]