IBM to Eclipse Microsoft Market Cap

Ouch. The PC revolution took all the power away from the hardware leader IBM only to give it to the software company making operating systems – Microsoft. For decades, Microsoft used it’s OS dominance to help subsidize and sell myriad software products causing the company to grow like a weed.

But Redmond needs a new growth engine and it looks like PCs and servers just aren’t going to continue their massive growth curve – especially when you consider how well iPads are selling.

Moreover, IBM brilliantly transitioned from a PC company to services where they are doing very, very well.

This is why as Matt Rosoff at Business Insider explains the reason IBM is about to pass Microsoft in market cap.

He infers this is the reason for the Skype acquisition by Microsoft but really, the company needs a solid mobile advantage and a way to get it’s voice and unified communications strategy to be successful and the Skype deal kills these birds as well as adding a social and consumer electronics elements to the mix.

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