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 24th

Mon,12:40 PM
Three Ways to Protect your Apple Watch (and One Way Not To)
Mon,8:40 PM
Dubious Study Says Fitbit Sucks at Heart Rate Tracking
6:16 PM
Chance the Rapper Sounds the Changing of the Guard on Apple Music and Streaming
5:27 PM
CyberGhost VPN Premium Plan 3-Year Subscription: $39.99
5:00 PM
4K UHD TV: Samsung and Sony Are Passing on Dolby Vision - Why It Matters
4:43 PM
Apple Music Paves Industry Pricing Path, Spotify Follows
3:45 PM
TMO Background Mode: Interview With AquaMinds Co-founder Scott Love
2:37 PM
Patent Lawsuit Targets iPhone for Making Phone Calls
1:51 PM
TMO Daily Observations 2016-05-23: iPhone Calling Patent Lawsuit, Fitbit Heart Rate Accuracy
9:50 AM
Apple May Turn its Stores into Car Showrooms
Sun,12:50 PM
MGG 606: The Palindrome Reviver
Fri,10:23 PM
Purism Laptops to Protect You from Surveillance Capitalism
  • __________
  • Buy Stuff, Support TMO!
  • Podcast: Mac Geek Gab
  • Podcast: Apple Weekly Report
  • TMO on Twitter!