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IBM Invests US$1.0 Billion in Mobile Web for Europe
Posted: 26-Jul-2000 [Source: Reuters]

[IBM announced its decision to beef up its mobile Internet focus in Europe.]

London -- "International Business Machines (IBM) said on Tuesday it will spend one billion dollars and hire over 2,500 staff in the next two years to strengthen its mobile Internet consultancy arm in Europe.

"The U.S. group, the world's largest computer maker, said it will also use the money to invest in acquisitions, partnerships and seed capital.

"IBM will employ 4,000 staff, two-thirds of whom will be new hires and employees of soon-to-be-acquired companies. One third will be current employees who will be retrained as mobile Internet specialists, such as consultants, integrators, security specialists and hosting experts.

"IBM will also take a minority part in ePartners 2, an investment firm which is part of News Corp focusing on mobile Internet start-ups, but it declined to say how much it would pay for the stake.

"The total $1.0 billion investment is part of a makeover of the U.S. company to address Europe's corporate needs for Internet access on mobile phones and appliances.

"The mobile Internet is one of our must-wins," said Val Rahmani, vice president of IBM's communications arm in Europe.

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