Rochester MN

[Jon.Paris@xxxxxxxxxx]

 >> Do IBM own part of Celestica then?

Not as I understand it.  Although given how well the company has done I suspect
they wish they did!

While I was with the Lab they sold off the manufacturing plant to a venture
capital company named Onex (sp?) - this is the same company that recently tried
to buy out Canadian Airlines and Air Canada.

Reason IBM sold was that they were having to spend more and more money on
updating equipment to produce PC cards etc. at an economic cost and their own
demand could not keep the line busy enough to justify the costs.  They had sold
some capacity to HP and others but they were (understandably) reluctant to let
IBM get their hands on any "secret" stuff. I suspect the Rochester position is
similar - outsourcing board manufacture is very big right now. I believe Cisco
for example don't manufacture any of their own stuff, and HP are rapidly going
the same way.


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