The Eagle Blog

The Technology Industry Landscape Changes!

It was interesting to see Computer Science Corp (CSC) publicly admit to being available and for sale. For as long as I have been in this industry, close to 30 years, they have been a powerhouse … one of the mega companies that have dominated the technology landscape.

Over the years we have seen many changes, as formerly dominant players have disppeared, often bought and merged into other entities. Unisys was formed through the merger of Burroughs and Sperry (two strong computer manufacturers). Digital Equipment was a former powerhouse as was Compaq, now both have been swallowed into HP (one of the companies whispered to be interested in CSC).

The formerly dominant players don’t last forever and change is definitely the one constant in the technology world. How will the Alcatel/Lucent merger work out? Does that spell the imminent end for Nortel which has struggled and not retained its former status? What of IBM, which relies more and more on its services business … yet “offshores” much of the work to an increasing Indian workforce? EDS had some woes in recent years and has been the subject of takeover rumours, but seems to be rebounding (with offshoring to India a part of the recovery plan) but who knows?

The new and emerging players are interesting. Google seems to be a pre-eminent force, as does CISCO and maybe EBay. The Indian companies seem to be coming on very strong Wipro, Tata, Infosys et al seem to be growing at a tremendous clip. What of the Chinese companies .. Lenovo? Of course Microsoft is everybody’s favourite giant to hate.

There have been some very famous “crystal ball” type quotes in the technology world. It was Tom Watson (former CEO of IBM) who thought there was a worldwide market for maybe 5 computers! The CEO of Digital Equipment scoffed at the notion of computers for personal use. I don’t want to join that group by trying to predict our future in the technology industry … I will say that things will change, and the impact of Asia will be huge in our space!

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