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To: Earlie who wrote (199524)10/24/2002 7:06:03 AM
From: Michael  Read Replies (1) of 436258
 
Hi Earlie,

Re: IBM's acquisition of PWC. Here's a possible rationale.

Services is the fastest growing area of IBM, and is important both as a profit center in its own right as well as a way of brand building for them.

However IBM's Services strength is primarily technical rather than business strategy oriented. This is a major problem as strategy engagements lead technical ones and are often decisive in who gets the technical work.

IBM is at a disadvantage relative to Accenture, KPMG et al, in this respect, so the acquisition of PwC makes sense from a strategic view, in terms of capabilities they can offer to the market.

just my 2 cents.

Michael
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