Thu 26 Oct 2006
IBM Information Server
Posted by Greg under General
Last week IBM unveiled the IBM Information Server, “meant to be a departure from traditional databases or file servers that typically store information for a single application. Instead, the information server acts more like a gateway to multiple information sources and can reformat data for specific purposes, company executives said.” IBM is classing this offering as a new category of product and expects it to drive services business growth. Starting price for the server, including a DB2 database and WebSphere application server is $125,000. With that price point, I guess this means that IBM is targeting small businesses again.
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March 4th, 2007 at 6:38 am
To whom it may concern:
We are writing in to you to highlight some business ethics that IBM Software China is doing that is both damaging and questionable ,let me summarize in a few points:
1. Fire-house Sales . There are numerous occasion that DB2/Websphere is priced so low that it seems that IBM is having financial difficulties . A recent bid dated 28-Feb-2007 with a major bank proves this : for 6000 cpu,3 yrs MS plus on site services…: Bid price: CNY 41,401,800. This is an open bid which you can obtain information on web. There are other bids which your software division is bidding that is so cheap that is almost free.
2. IBM Sales folks are able to malce amencments to the response to the RFP on site and stamp it with IBM Rubber stamp . Wow, wonder what kind of flexibility is given to IBM China and how do you ensure corporate governnence. While we can appreciate and understand that IBM has got lots of offering -from hardware to software to services, IBM can and will utilise this to your advantage,you will offer a “One Price ” strategy to out bid competition.
However,being an American MNC , I am sure you must observe certain governnence ,like VSOE,you can’t be using software to subsidise your other LOB. This is unfair business ethics which I am sure as a corporate you do not tolerate. Thus I can only suspect that you are not having a proper grip in the China management team.
Being a IBM stock holder , I am very concern and worried . I hope this will be attend to immediately and that IBM will not end up like another Enrron.
Good Luck
W.W