What’s happening at IBM (it’s dying)

Corporate-Life-CycleThis is a column I didn’t want to write. Like many of you I am tired of IBM stories and the company that was once an industry leader has become, at best, a poster child for how not to manage the later stages of a corporate life cycle. But because what’s happening at IBM is also happening right now at hundreds of other big technology companies makes it worth covering. So let me be clear: IBM is dying.

Last week a huge round of layoffs hit IBM just as I predicted back in January. The company is releasing as few details as possible. Nobody, for example, knows exactly how big […]

2016 Prediction #1 — Beginning of the end for engineering workstations

2016predictionsFirst a look at my predictions from one year ago and how they appear in the light of today:

Prediction #1 — Everyone gets the crap scared out of them by data security problems. Go to the original column (link just above) to read the details of this and all the other 2015 predictions but the gist of it was that 2015 would be terrible for data security and the bad guys would find at least a couple new ways to make money from their hobby. I say I got this one right — one for one.

Prediction #2 — Google starts stealing lunch money. The title is 100 percent smart-ass but my point (again, […]

Soylent Green — Now Made with More Women!

Soylent_greenSoylent Green is the punchline of a bad joke told to me at the breakfast table by Channing, my 13 year-old son, but in a way it is fitting for this column about women executives in danger of being chewed-up by their corporate machines. And kudos to you if you caught the reference to Edward G. Robinson’s final film — about an over-populated world where people are recycled into cookies.

First up is Yahoo CEO Marissa Mayer, whom I’m told is rapidly losing the support of her hand-picked board. Mayer, who is expecting twins, will probably not be returning from her upcoming maternity leave and Wall Street has begun speculating about possible successors. […]

Why Yahoo is worth less than nothing


marissamayerA reader pointed out to me today that Yahoo, minus its Alibaba and Yahoo Japan stakes plus cash, is now worth less than nothing according to Wall Street. This says a lot about Yahoo but even more about Wall Street, since the core company is still profitable if in decline. If I were a trader (I’m not) that would argue Yahoo is a buy since there’s likely to be a future point at which the company will be free of those other riches and even Wall Street will be forced to give the carcass a positive value.

But when I heard about the negative value story the first thing […]

Dell buys EMC and gets the corporate cloud for free

emccloudThe Wall $treet Journal carried a story last week about Dell Computer possibly buying EMC, the big storage vendor, and this morning the New York Times confirmed it, pinning a price of $65 billion on the deal. There’s a lot to wonder about in this combination, which I think is pretty brilliant on Dell’s part even if I’m not generally in favor of mega-mergers. But it seems to me most of the experts commenting on the deal have it ass-backwards as Wall Street once again proves it doesn’t really understand technology business.

EMC has this large but aging storage division and a valuable subsidiary in VMware, of which EMC owns 80 percent. Activist investors […]