The Mac Observer

Skip navigational links

You're viewing an article in TMO's historic archive vault. Here, we've preserved the comments and how the site looked along with the article. Use this link to view the article on our current site:
Report: IBM's PC Business Up for Sale

Report: IBM's PC Business Up for Sale

by , 8:00 AM EST, December 3rd, 2004

IBM has decided to sell its personal computer business and is in negotiations with China's largest maker of personal computers to buy it, the New York Times reported Friday.

Sources told the Times IBM is in serious discussions with Lenovo Group Ltd., formerly known as Legend, and at least one other potential buyer for the unit. The sale, which reportedly will be in the US$1 billion to $2 billion range, will include desktop, laptop, and notebook computers manufactured by IBM.

IBM has manufactured PCs since 1981. The PC business represents about 12% of I.B.M.'s annual revenue of $92 billion.

"A sale now, if it happens, would be consistent with the strategy pursued by Samuel J. Palmisano, who became I.B.M.'s chief executive early in 2002," wrote the Times reporters Andrew Ross Sorkin and Steve Lohr. "He has sold hardware businesses where profits were slender and growth prospects were limited, like its hard disk drive business, which was sold to Hitachi."

Spokespersons for IBM and Lenovo declined comment on the story.

Recent Headlines - Updated May 6th

Mon,12:40 PM
Three Ways to Protect your Apple Watch (and One Way Not To)
Thu,6:24 PM
Apple Watch iMessage Canned Responses Are Automatically Multilingual
5:50 PM
How to Save Money on Subscriptions to Netflix, Pandora, and Other Services
5:18 PM
AluPen Digital Fine-Point Stylus: $34.95
1:44 PM
TMO Daily Observations 2016-05-05: Dave’s iPhone SE Surprise, LAPD iPhone Hack
10:42 AM
LAPD iPhone Hack isn’t as Big a Deal as You Think
8:29 AM
How To Record a Video of Your iPhone’s Screen
Wed,8:45 PM
Why I’m not Buying an Apple Smoke Detector
5:25 PM
ACM 358: The Devil’s Advocate, Apple Scaling, and Tim Cook’s Speeches
5:00 PM
Hulu Is Going to Launch What Was Denied to Apple: A Cable-like Internet Subscription Service
4:53 PM
ThinCharge iPhone 6/6s Battery Case (Black): $56.99
3:10 PM
The Internet of Things is Really a Thing in Germany
  • __________
  • Buy Stuff, Support TMO!
  • Podcast: Mac Geek Gab
  • Podcast: Apple Weekly Report
  • TMO on Twitter!