IBM’s Personal Systems Group lost nearly $1 billion in 1998, much more than the year before, according to the company’s annual report.
The group ended the year with a loss of $992 million on total revenues of $12.8 billion, compared to a loss of $161 million on revenues of $14.4 billion in 1997.
The first half of the year saw large increases in inventories for both new and older PCs. The situation sparked a costly round of price-cutting by PC makers, including IBM and Compaq Computer Corp.
The complete report is available at http://www.zdnn.com/.