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by kamaal
2832 days ago
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>>Real IBM the thing we think of as IBM actually died, and instead Zombie IBM took it's place (zIBM). That would be true for any company once their core set of products go out of trend without replacements. Lets say tomorrow Google/Alphabet loses its search engine business, there is nothing much they can do but financially engineer the company in a way that is useful to share holders, which might include going into businesses many Google people now consider beneath their station. IBM that way is an incredibly well run company. |
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Why would any company allow it's products and services to age out of the market? How would any other company survive such a thing?
If Google "loses" in the search engine space, it loses everything. Everything Google is and does, is financed by ad revenue from search. Without search, Google becomes a pauper.
To take this in the IBM direction: Assume they (GOOG) lose at search, all the devs abandon ship or are layed off, Google could still get business because it could coast on the street-cred it built back when it was successful. So as long as it has mind-share and the google brand does not get destroyed it could still persist on well after death, draining down it's resources and selling off subdivisions (essentially cannibalizing itself, much as IBM has done). Google could aggressively manage it's stock price to hide it's status from the plebs and milk government contracts (that other organizations can't even bid on) and cannibalizing itself and drawing down it's savings for many years. This is the story of IBM. Once the boomer generation is no longer in charge of anything then IBM will fully die, because they don't make anything or do anything that the average person cares about, so they're mindshare dies with the boomer generation.