Broadening Big Blue

IBM moves to fill a gap in servers with its Sequent buy while also moving in a new chip direction.

CNET News staff

See full bio

CNET News staff

Jan. 2, 2002 4:43 p.m. PT

latest developments

IBM moves to fill a gap in servers with its Sequent buy while also moving in a new chip direction.

"On its own, Sequent didn't have a lot of life left."

- Joe Ferlazzo, analyst with Technology Business Research

IBM buys Sequent for $810 million
IBM agrees to buy Sequent Computer Systems for about $810 million in cash, or $18 a share, to get Sequent's products for large computer systems.

IBM tie-up underscores new chip direction
IBM will exploit its longstanding expertise in chip development and try to become a major hub of silicon design for low-cost devices, even as it backs away from memory chips.

Trade group predicts rise in chipmaking equipment
A trade organization says there is growing optimism in the chip production equipment sector, usually an indication of positive trends for chipmakers.