IBM Corp is expected to make a major push to sell hardware, software and services into the internet service provider business today (Tuesday) by forming a new business unit. Known as the IBM ISP Industry unit, the new division will be a part of IBM’s Global Industries Group, according to a Reuters report.
The new division is also being viewed as a way of expanding IBM’s own online sales. It hopes to turn ISPs into sales partners for small-to-medium sized customers currently out of the reach of IBM’s own direct sales force. IBM already made $3.3 billion in revenues from online sales last year, mostly from PC and related products. It is said to be working on a new web site, codenamed Project Odyssey, to sell PC products directly to small businesses and consumers more cost effectively. Last year IBM lost $992m on its PC sales.
