IBM Japan Ltd is to create a 100%-owned subsidiary called Encyclo-Soft Engineering Ltd to sell packaged software for the personal computer and workstation market. The company will be established this month and will be staffed with 100 employees of IBM Japan. IBM is seeking to increase its distribution and support channels by the establishment of at least one specialist software company in each prefecture of Japan. Armed with DOS/V, the bilingual operating system for Intel Corp iAPX-86 machines, IBM Japan is also hoping to confront the strength of NEC’s hold on the personal computer market by creating an environment in which software company’s want to do applications for DOS/V.