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IBM taps Rometty to succeed Palmisano as CEO
Source: Agencies |
October 26, 2011, Wednesday
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IBM global sales chief Virginia Rometty will take over as CEO from Sam Palmisano in January, becoming one of the most powerful women in business and technology today.
In taking the helm of the storied industry icon, she makes it the largest US corporation by value to be headed by a woman.
IBM, which over the decades had a reputation of being a strait-laced, plodding, male-dominated business empire, will formally appoint the 54-year-old engineering and computer science graduate its first female CEO on January 1.
The selection went down well with Silicon Valley and Wall Street, especially because the 60-year-old Palmisano -- who helped transform Big Blue from a computer hardware company into a global services and software behemoth -- is staying on as chairman.
"Given Ginni's experience running the largest portion of the business by revenue, she was a logical choice," said Macquarie Securities analyst Brad Zelnick.
Her ascension will set up a rivalry with Hewlett-Packard CEO Meg Whitman for the mantle of most powerful woman in technology, mirroring a long-running rivalry between the two companies.
Rometty joins a relatively small circle of top female CEOs, including Whitman, Pepsico's Indra Nooyi, Xerox's Ursula Burns, Kraft Foods' Irene Rosenfeld and DuPont's Ellen Kullman.
Rometty -- who most recently served as senior vice president of global sales -- made her mark with the smooth 2002 integration of PriceWaterhouseCooper's consulting arm, a landmark move that catapulted IBM into the upper echelons of the technology consulting business.
In taking the helm of the storied industry icon, she makes it the largest US corporation by value to be headed by a woman.
IBM, which over the decades had a reputation of being a strait-laced, plodding, male-dominated business empire, will formally appoint the 54-year-old engineering and computer science graduate its first female CEO on January 1.
The selection went down well with Silicon Valley and Wall Street, especially because the 60-year-old Palmisano -- who helped transform Big Blue from a computer hardware company into a global services and software behemoth -- is staying on as chairman.
"Given Ginni's experience running the largest portion of the business by revenue, she was a logical choice," said Macquarie Securities analyst Brad Zelnick.
Her ascension will set up a rivalry with Hewlett-Packard CEO Meg Whitman for the mantle of most powerful woman in technology, mirroring a long-running rivalry between the two companies.
Rometty joins a relatively small circle of top female CEOs, including Whitman, Pepsico's Indra Nooyi, Xerox's Ursula Burns, Kraft Foods' Irene Rosenfeld and DuPont's Ellen Kullman.
Rometty -- who most recently served as senior vice president of global sales -- made her mark with the smooth 2002 integration of PriceWaterhouseCooper's consulting arm, a landmark move that catapulted IBM into the upper echelons of the technology consulting business.
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