View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. Technology
January 23, 1994


By CBR Staff Writer

Rotten figures with slumping turnover from Amdahl Corp do not bode very well for IBM Corp’s figures which are due tomorrow. Amdahl notes that much of its $40.9m fourth quarter loss and $580m loss for the year came from the $478m pre-tax restructuring charge necessitated by weakness in its primary markets. In 1993, the company cut manufacturing capacity by more than 50% and reduced its workforce by a third. The restructuring charge was demanded by continued weakness in the market for mainframes, and associated reductions in employment, manufacturing capacity and other expenses. It sees the measures cutting costs significantly in future quarters. Amdahl also said it is pursuing alliances and joint ventures that will enable it to cut costs, diversity and speed product development, and capitalise further on what it reckons are good relationships built up with customers, but the figures will leave a nasty hole in the consolidated figures of 44% shareholder Fujitsu Ltd, which is itself suffering very badly from the recession.Summing up, in a relatively short period of time, said Joseph Zemke, Amdahl president and chief executive, we’ve effectively created a new Amdahl with production and operating expenses that are better aligned to the volumes of business we’re experiencing and with an internal structure that will allow us to be more responsive to changing customer requirements and market conditions.

Content from our partners
Scan and deliver
GenAI cybersecurity: "A super-human analyst, with a brain the size of a planet."
Cloud, AI, and cyber security – highlights from DTX Manchester

Websites in our network
Select and enter your corporate email address Tech Monitor's research, insight and analysis examines the frontiers of digital transformation to help tech leaders navigate the future. Our Changelog newsletter delivers our best work to your inbox every week.
  • CIO
  • CTO
  • CISO
  • CSO
  • CFO
  • CDO
  • CEO
  • Architect Founder
  • MD
  • Director
  • Manager
  • Other
Visit our privacy policy for more information about our services, how Progressive Media Investments may use, process and share your personal data, including information on your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.