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IBM to sell PCs online

By John Oates

Published: 9 April 1999 16:47 BST

IBM is to sell its entire PC range at its online store. Previously, customers could only buy Big Blue's desktops through resellers.

According to US reports, the company hopes the move will get its PC division back on track after it posted a loss of $992m last year. The change, to take effect next month, signals an about-turn for a company which has always said it would not go direct.

Andy Brown, EMEA research analyst at IDC, was not impressed. "IBM always said they wouldn't go direct. This looks like a knee-jerk reaction; they are panicking about the loss and it will definitely upset their channel partners." Brown claimed the move is a potentially dangerous move for a company like IBM, which he said is not traditionally "seen as dynamic like Dell".

An IBM spokesman said: "IBM serves its customers in the way they want to be served." He added that Big Blue has "consulted" its channel partners about the changes and said that for the moment, the development will be limited to the US.

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