Report: Fujitsu, IBM in joint development talks

Report: Fujitsu, IBM in joint development talks

Fujitsu and IBM are in talks on a comprehensive tie-up on development of software and computer technology, according to a report in the Thursday morning edition of the Nihon Keizai Shimbun.

The companies are aiming to reach an agreement some time this year, said the newspaper. The talks are centered on several areas, including the joint development of software for corporate backbone information systems, the sharing by IBM of its computer server technology with Fujitsu, and Fujitsu supplying IBM with network routers, according to the report.

Through the tie-up, each company hopes to save 30 billion yen ($US250 million), said the newspaper.

Working toward the tie-up, Naoyuki Akikusa, the president of Fujitsu, and Samuel Palmisano, president and chief operating officer of IBM, met in Tokyo in late September, said the newspaper. Those talks resulted in the creation of executive-level teams to work on software, computers, communications and electronic parts, the report said.

"Both companies have been in talks for the possibilities of partnership and a development tie-up on a broad range of areas, including hardware and software. However, details and when it is happening are not yet decided," Fujitsu said in a statement issued on Thursday.

June Namioka, a spokeswoman for IBM in Japan, declined to comment on the newspaper report saying, "We do not comment on rumors or speculation."

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