Technology giants: How the mighty have fallen

Technology giants: How the mighty have fallen

Summary: The recent death of Digital Equipment Corporation founder Ken Olsen is a reminder that it's tough to get to the top of the tech world but it's even tougher to stay there.

TOPICS: Hardware

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  • CDC was formed in 1957 as a spin-off of Sperry. It started off by selling memory systems, but in 1958 the now-legendary Seymour Cray signed up. The company released what could be described as the first minicomputer — the 160A — in 1960, but its attention soon turned to producing the fastest computers available.

    The CDC 6600 (pictured) came out in 1964, trouncing the competition. It was at least 10 times faster than any rival computer, with a standard mathematical operations rate of 500 kiloflops. The 6600 inspired a series of retaliatory tactics from IBM — the ACS-1, which never made it to production, and the non-existent Model 92 — that may have failed, but nonetheless hit sales of CDC's machine through an early campaign of 'fear, uncertainty and doubt' (FUD).

    Although Cray left in 1972, CDC continued to dominate the world of supercomputing during the first half of that decade. After the first Cray-1 was installed in 1976, CDC's lead in the field slipped. The company tried to move into other markets, gaining considerable success from sales of high-performance hard drives. However, it pulled out of hard drives in 1988, and what was left of CDC ended up being merged into BT's Global Services unit soon after.

    Photo credit: Steve Jurvetson

  • ICL started off as an initiative of the Wilson government — specifically technology minister Tony Benn — to create a strong British rival to the likes of IBM. Formed from various smaller companies in 1968, it began life with two mainframe product lines: the IBM System/360-compatible System 4 and the ICT 1900 series, which was not compatible with any other company's products.

    ICL launched a new line, the 2900 Series, in 1974. Running the Virtual Machine Environment (VME) operating system, these machines were able to emulate both of their predecessors. The ICL Series 39 range of mainframes and minicomputers, introduced in 1985, included major hardware advances such as the use of optical fibres for central interconnect.

    In 1984, ICL was taken over by Standard Telephones and Cables (STC) in a move that foresaw the convergence of computers and telecoms. Subsequent acquisitions included that of Nokia Data in 1991, taking ICL into the PC and desktop software markets.

    However, ICL's long-standing partnership with Fujitsu became more permanent around that time, with the Japanese company buying up 80 percent of ICL in 1990. When Fujitsu Siemens was formed in 1999, the ICL brand was finally dropped from its PC and server lines.

    Photo credit: HendrikHAM

  • Wang Laboratories always remained under the control of co-founder Dr An Wang and his family, from its inception in 1951 to the doctor's death in 1990.

    The company moved from typesetting equipment to the desktop calculator business in 1965 with the LOC-2, arguably the first of such devices to handle computing logarithms, which it achieved without the use of an integrated circuit. At the start of the 1970s, though, calculators began to be commoditised, and Dr Wang moved on to what were, at the time, extremely innovative word processors. They allowed text to be edited without requiring the retyping of entire pages.

    The word-processing business developed alongside minicomputers such as the Wang 2200 (pictured), which had the novel feature of a CRT monitor built into the same unit as the storage unit and keyboard. Released in 1973 and running Basic, it was in many ways an early example of the desktop computer.

    Dr Wang believed his company would one day overtake his bête noire, IBM. His VS range of minicomputers went some way towards this goal in the 1980s, but, ironically, early Wang PCs suffered from their lack of compatibility with IBM's rival system. Later, IBM-compatible Wang PCs were more successful. Ultimately, though, Wang's increasingly outdated focus on word-processing and an embarrassing 'vapourware' announcement in 1983 — in which Wang promised products that had not been started or completed — led to escalating losses.

    Dr Wang died in 1990, and the company turned towards industry-standard rather than proprietary software. In 1991 the company even began to resell IBM hardware. Wang Laboratories filed for bankruptcy protection the following year. It re-emerged in the mid-1990s as a network services firm rather than a computer company, and in 1999 it was bought by the Dutch firm Getronics.

    Photo credit: Wikipedia

Topic: Hardware

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  • RE: Technology giants: How the mighty have fallen

    Digitals' problem wasn't so much letting technology pass by. It was the world's largest UNIX producer at one point. It was the first to produce a commercial 64-bit processor (remember Alpha?) and still OpenVMS clusters beat UNIX and Windows clustering... 25 years later. Two big mistakes.... no spotting the PC revolution, and no marketing!
  • What about CompuServe?

    Before the Internet took off, CompuServe was the place to be for microcomputer enthusiasts. It was head and shoulders above AOL. I'm not sure what happened, but I guess it just got killed off by the Internet.
    • RE: Technology giants: How the mighty have fallen

      @nfordtchrpub CompuServe is still around. But ever since AOL bought them, it went down hill.
  • RE: Technology giants: How the mighty have fallen

    Surprised AOL and Compaq are not on the list. I'd only vaguely heard of Acorn...might have thought they were the people helping pimps buy houses if you'd asked.
  • RE: Technology giants: How the mighty have fallen

    I must have missed Yahoo. It surely is a dead company walking. Maybe next year it will be on your list.
  • RE: Technology giants: How the mighty have fallen

    if the purpose of this blog is to point out companies that are no longer here, than I do not see a problem, otherwise there are a few more companies that should be on the list:


    I know for a fact that AOl and Yahoo are still here, though these are shells of what they once were, in no way on top. I haven't heard anything about for a couple of years back when they were trying to be in direct competition with Google. Web of Trust lists as an untrusted site, but I don't know how realistic that is, considering WoT is opinion based, (and in IE9 lists igoogle as untrustworthy).

    Most of these were mentioned above, but just wanted to re-list them together and try and get a handle on whether or not the blog lists dead companies or once greats
  • RE: Technology giants: How the mighty have fallen

    Memories! Wang, Ashton-Tate...
    • RE: Technology giants: How the mighty have fallen


      I still use WordStar for DOS or a work-alike Z.EXE that came with XTree on my tri-core AMD computer every day.
  • Unisys

    What gave you the idea that Unisys no longer sells hardware? My paycheck is still generated on a Unisys mainframe. Their Clearpath Libra series supports both the Burroughs MCP and the Sperry OS 2200.
  • RE: Technology giants: How the mighty have fallen

    I was beginning to wonder when a Wang would pop up.

    The Tandy name is still alive and well, in Australia where it is the name used for RadioShack stores.
    • RE: Technology giants: How the mighty have fallen

      But in reality, Tandy were taken-over by Dick Smith Electronics some years ago and Dick Smith is really the major name. However, in their early days, Tandy were very important to the development of home computing in Australia.
      • To be more precise

        @ptorning, tandy was owned by Woolworths Limited, which also owns Dick Smith Electronics, but only rebranded the Tandy stores under Dick Smith Electronics a few years ago.
        Tim Cook
  • RE: Technology giants: How the mighty have fallen

    As a past employee of Digital, I found that many of my peers had moved on to Sun Microsystems, a more recent company missing from this article. Although many have found a place in Oracle, some of the key innovators from Sun have recently left, fueling the new and upcoming technology companies of tomorrow.

    Case in point..., as Sun Microsystems combined its real estate holdings with Oracle, they left Menlo Park, CA, just recently acquired by Facebook. The same was true of many of Digital's campuses in the greater Boston area.
  • RE: Technology giants: How the mighty have fallen

    Every tech company will eventually fall, in fact, all companies eventually do for one reason or another. Just like people and nations, companies have a life cycle. Today's hot company will be tomorrow's corpse. Tech has a shorter life cycle than any other sector. Personally, I can't wait until Apple folds.