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Digital to test IBM's mainframe strength

Article Abstract:

Digital Equipment Corp (DEC) will introduce its new line of mainframe computers on Tue, Oct 24, 1989. Now, IBM announces its own mainframe introduction on the same day. A DEC executive sees the move as an attempt to steal DEC's thunder, saying that DEC should take IBM's announcement as a compliment. DEC's new line is called the VAX 9000. Prices will range from about $1.24 million to $4.4 million and up, depending on configuration, which is about half the price of a comparable IBM mainframe. The market for mainframe computers is currently estimated at $40 billion. Tandem Computers Inc has also entered the market with an aggressively priced machine. Heightened competition comes at a bad time for IBM: the company's current product line is showing age, and a new generation of IBM mainframes is not expected until 1991.

Author: Wilke, John R., Carroll, Paul B.
Publisher: Dow Jones & Company, Inc.
Publication Name: The Wall Street Journal Western Edition
Subject: Business, general
ISSN: 0193-2241
Year: 1989
Tandem Computers Inc., product announcement, Market Entry

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Calculated move: computer firms find service is what sells, not fancier hardware; customers seem bewildered by technological change, contract the work out; how Kodak eases the burden

Article Abstract:

Companies such as Eastman Kodak want more than just computers. Corporations now are requiring that computer companies supply them with computer services. Kodak has hired Businessland Inc to manage its personal-computer operations nationwide. IBM will set up and operate Kodak's data-processing center, which will manage the work and employees of four Kodak centers. Hardware and software companies that have just pushed their products have found that is not enough any longer. Some are getting involved with their customer's businesses. The federal government is the first big customer to contract out most of its computer operations.

Author: Wilke, John R., Carroll, Paul B.
Publisher: Dow Jones & Company, Inc.
Publication Name: The Wall Street Journal Western Edition
Subject: Business, general
ISSN: 0193-2241
Year: 1989
Computer maintenance & repair, Analysis, Services, Computer services industry, Information technology services industry, Vertical market software, Contracts, Technology application, Corporations, Customer service, Eastman Kodak Co., EK, Companies, Government Contracts, Computer Services

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Digital unveils its first mainframe line, taking aim at IBM's 70% market share

Article Abstract:

Digital Equipment Corp (DEC) announces its first mainframe computers, placing DEC in direct competition with IBM, which answers back with mainframes of its own, extending the 3090 line with a 7 percent to a 14 percent power increase. Until now, competition between DEC and IBM has been limited to midrange computers, where DEC has sought to exploit IBM's weakness in networking. DEC's VAX 9000 mainframes, which the company says are among the fastest available, will cost from $1.2 million to $3.9 million - less than IBM's products. DEC's first models will ship in the spring of 1990.

Author: Wilke, John R., Carroll, Paul B.
Publisher: Dow Jones & Company, Inc.
Publication Name: The Wall Street Journal Western Edition
Subject: Business, general
ISSN: 0193-2241
Year: 1989
Product information, Market share, DEC VAX 9000 (Mainframe computer)

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Subjects list: Computer industry, Product introduction, International Business Machines Corp., IBM, Mainframe computers, Digital Equipment Corp., DEC, Mainframe Computer, Competition
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