Monday, May 23, 2011

IBM has passed and will pass before Microsoft

IBM's market capitalization exceeded that of Microsoft for a moment Wednesday and Friday. It is a highly symbolic step for Big Blue, which had been preceded by Redmond in the 80. He continues to see its share collapse and its difficulty to meet the mobile revolution do not help matters. Microsoft stock indicators are bad.

As highlighted Geekosystem its stock has lost 58% of its value since the early 2000s, that is to say since the arrival of Steve Ballmer as CEO Its share rebounded after closing its market capitalization and turns to 206.50 billion dollars. However, since the early 2000s, the share of IBM gained 57% and should again move second and consolidate his lead this week, unless a twist.

Indeed, its market capitalization is now 206.10 billion. The difference between the two companies is very small, but Big Blue has favor with the market. For the record, Samuel Palmisano is at the helm since 2002. He succeeded Louis Gerstner, who was PD G IBM from 1993 to 2002 and is recognized for having saved the firm from bankruptcy.

When Apple has surpassed Microsoft in May 2010 to become the largest technology company by market capitalization, the discussions revolved around the role of Steve Jobs in the turnaround of a company that was supposed to put the key under the door (see "Apple is worth more than Microsoft).

Similarly Barron's Business Insider and compare the prowess of IBM executives to poor performance of Steve Ballmer. Market capitalization is not the company, but this is an important value of the stock market and investor confidence. In the 90s, Microsoft was worth three times as IBM and Geekosystem, many experts were convinced at the time that Big Blue could not catch him.

It seems however that this turnaround is due to their ability to convert. IBM sold its PC division to Lenovo and focused on the market for servers, services and business in general. This strategy has borne fruit. Microsoft has not taken advantage of the Internet and is struggling to find a place in the market for mobile devices.

Leadership of Steve Ballmer continues to be severely criticized. One imagines that the rumors of his departure will not only increase when the company goes down in third.

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