Amdahl Corp warned at its quarterly meeting for analysts that it expects its gross profit margins to continue to be under pressure during 1989 because of greater pricing competition from other manufacturers – led by IBM, which Amdahl says is putting its salespeople under great pressure to lose fewer orders – and higher manufacturing costs as it brings the 5990s on full stream: chairman Jack Lewis said he didn’t see gross margins going back to the 48% of the first quarter of 1988 in the next couple of years, but the company later said it didn’t expect them to go below the 45% of the first quarter 1989; business so far this year has been better in Europe and Canada than in the US; as for the Key Computer Laboratories, Unix products using its technology could be expected in a couple of years.
