From The Register.
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Posted 23/07/99 5:08pm by Mike Magee
New Compaq CEO says Europe, Alpha integration
disappointing
Mike Capellas, Compaq's new CEO, said today that the European wing of the corporation
is underperforming.
In a conference call with European journalists and analysts today, Capellas said: "Europe
has been a great area of strength for us."
But he admitted the last few quarters in Europe had been disappointing. And he also said
that he would accept Compaq had not been as clear on its strategy in Europe as it could
have been, particularly on its direct/indirect strategies.
He also admitted that Compaq had still a great deal of work to do on integrating its Digital
business with its traditional business.
Compaq has 300 global accounts he disclosed, not forgetting the 8000 major accounts it
has, worldwide.
He said: "There is work to be done. You have to get your sales forces together. You
shouldn't have two groups doing the same thing. The last thing you want to do is to
integrate your pricing structure and your financials."
So there is a big problem then...
The new CEO did not have time to take our question about how important he thought the
Alpha chip was, something that Eckhard Pfeiffer and some Digital acolytes tripped over this
time last year... ©
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Posted 23/07/99 4:18pm by Mike Magee
Rose contributed to Pfeiffer's ousting
A source formerly extremely close to Compaq said last night that John Rose, ousted from
Compaq shortly after Eckhard Pfeiffer was outside, had persuaded the Great Satan of
Haircuts to buy Digital.
And it was a huge mistake, apparently.
The mistake was so big that many thousands of individuals in Compaq Europe could
possibly lose their jobs in the next six months, said the source formerly intimate with
Compaq.
Apparently, this is what happened. John Rose persuaded and reminded Eckhard Pfeiffer of
his egregious plan to become a $100 billion corporation by the end of the century.
Eck demurred, but Rose persuaded him. And so the deal was done. And, according to the
former-employee-of-Compaq, that recruited many so-called Alpha employees, described
by the man as "the enemy within".
The Alpha evangelists got the ear of the CEO, explained our mole.
We will be listening in to the Compaq conference call where Capella explains all. © |
