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Technology Stocks : IBM

IBM 302.75

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Dec 3 3:59 PM EST

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To: J R KARY who wrote (3401)	6/29/1998 7:53:00 AM
From: Don Hurst	Read Replies (1) of 8218

Jim K, the WSJ this am, B section, and CNBC are both talking up the latest IBM Global Services win at United Technologies. In part" IBM was selected to develop and manage a procurement system for UT, underscoring a little-known push by Big Blue to go beyond its traditional computer-services offerings. The contract to be announced today is significant because it represents IBM's recent effort to offer "business process management" services. Under these IBM takes responsibility for part of a client's business operations. Under its more traditional "outsourcing" deals IBM just takes over a clients's computer systems" There is lots more to the article but looks like this is following a pattern started in May with the PG&E Corp to provide billing and other customer services to their retail services unit. Supposedly this business process mgt area is rapidly emerging as the next big arena for outsourcing and most IT services companies have been rushing into this area since it generates higher profits. Article ends by stating the "IBM's services business is its fastest growing unit with 1997 revenue of $19.3 Billion or 24.6% of $78.51 Billion. Not new news but a good reminder of how this dying mainframe company is doing. Also a couple of posts from the Novel thread. If true, NT5 is a long, very long way from replacing the RAS of the "dying" mainframes. exchange2000.com exchange2000.com Regards, Don

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