Big deal that poses little threat

Article Abstract:

AT&T's acquisition of NCR Corp, the computer company, seems to provide AT&T with its long-awaited opportunity for a successful expansion from telecommunications and into computers. AT&T already has its huge telephone network, and it can draw on the technological resources and expertise of its Bell Laboratories. AT&T seems to have everything it needs to become a leading company in information technology. But competitors, generally speaking, do not fear the new combination, and industry observers are generally not impressed. For one thing, NCR was never considered to be a company that shapes and directs its industry. For another thing, the merger itself may harm NCR, diverting attention from business, causing good talent to go elsewhere and scaring off customers. Electronics industry mergers have a reputation for not turning out very well.

Computer peripheral equipment, not elsewhere classified, Telecommunications industry, Outlook, Acquisition, Merger

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Coming to the rescue of a computer business: A.T.&T.'s efforts have been marked by missteps and failed expectations

Article Abstract:

Industry observers say that the $6 billion offer by AT&T for NCR Corp signifies an acknowledgement by the telephone company that it cannot succeed in the computer business on its own. One analyst calls the move a 'reverse acquisition,' saying that AT&T is getting out of the computer business by arranging the NCR deal. AT&T officials say they plan to hand over AT&T's computer business to NCR, to be run by NCR's management from NCR's headquarters in Dayton, OH. AT&T was once expected to battle with IBM for world computer supremacy, and the 1984 divestiture of its local telephone companies was seen as the price AT&T paid to be allowed to compete in the computer industry, but the story of AT&T's entry into the computer business has been one of missteps and dashed expectations, with every apparent turnaround proving illusory.

Telephone communications, exc. radio, Strategic Planning, Takeovers

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Chip manufacturer links with A.T.&T

Article Abstract:

AT and T has invested in Paradigm Technologies Inc, affording the semiconductor company some financial breathing room and access to its Bell Laboratories. Paradigm, founded in 1987, will develop SRAM for the telecommunications company. AT and T now owns a minority interest in the company, believed to have cost several million dollars. Paradigm's first product, a 256,000-bit chip, will be available by the end of 1989. SRAM, unlike DRAM, are still successfully produced by US companies. Both Paradigm and AT and T will produce the chips, and the two companies will sell what AT and T makes.

Semiconductors and related devices, Semiconductor industry, Management, Product development, Investments, Securities, Semiconductors, SRAM, SRAM (Static random access memory), Holdt, Terry, Paradigm Technology Inc.

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