Digital will merge the sales and marketing functions of its PC and systems divisions in July and has solved the thorny problem of who runs the combined business.
PC division VP Bruce Clafin will run the hardware arm as VP of sales and marketing while systems VP Harry Copperman will lead a new products division, which will contain the product management functions. Components VP Charles Christ will retire in July, Digital also announced, leading to speculation that the components division will become part of Copperman?s unit.
Copperman will also assume responsibility for Digital?s semiconductor and network product businesses. Digital Europe president Hans Dirkmann will report to Clafin under the reorganisation, which will lead to no redundancies or write-off costs. Digital denied it had plans to integrate the PC and systems businesses last year following rumours published in VNU news magazine PC Dealer.
Chairman Bob Palmer said the changes ?are designed to strengthen support for our current model of direct and indirect sales and will be implemented in a way to avoid disruption at the customer level?. Analysts said the move makes sense and reflects the blurred distinction between PCs and systems in Digital?s Alpha and Intel Pentium-based product line-ups. It is also expected to help the vendor cut costs and improve its results.
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