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Unisys posted higher third-quarter earnings today as cost controls helped improve profit in its computer services and hardware divisions even as overall sales fell.
That has meant shedding hardware divisions like personal computers and disk drives, and shifting its big services business toward more challenging work — like traffic management and policing for cities around the world.
Before I.B.M. offers commercial quantities of strained silicon devices to its hardware divisions and outside customers, it must improve the yield of defect-free chips from the new process, said Bijan Davari, vice president for semiconductor development for I.B.M.'s microelectronics manufacturing group.
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The concern for Microsoft will be to retain talent at its new hardware division.
In the hardware division, mainframe revenue declined 24 percent, and sales of large computers running the Unix operating system fell 10 percent.
In the mid-1990s, I spoke with the head of I.B.M.'s hardware division about his latest supercomputer.
So he turned IBM's service organisation, hitherto a sub-unit of the salesforce, and its software business, until then part of the hardware division, into standalone businesses.
Amazon will merge Touchco's technology and staff members into its Kindle hardware division, Lab126, which is based in Cupertino, Calif., this person said.
The bookseller has recently vowed to focus more on digital content, including books, movies and popular apps, while beginning to moderate its investment in its digital hardware division.
The Moto X is the first handset to be built by Motorola since Google bought the company's hardware division last year for $12.5 billion.
Palm, trying to fend off an aggressive challenge from hand-held devices powered by the Microsoft operating system, is splitting the company into an operating-system division and a hardware division.
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