I.B.M. Widens Computer Line

The New York Times

October 16, 1983

The International Business Machines Corporation yesterday introduced two new, more powerful versions of its personal computer that will enable programmers, scientists and business professionals to hook up to large I.B.M. mainframe computers from their desks.

The giant computer maker did not, however, introduce its widely anticipated home computer, once code- named the Peanut. Company officials refused to comment on this machine, which will be called the ''PC Junior,'' a less expensive version of the Personal Computer. But analysts said they expect the PC Junior, a $600 to $1,200 computer, to be announced in a few weeks.

Yesterday's announcement, which had been expected for some time, means that I.B.M. has overcome a key obstacle to creating the ''office of the future.'' I.B.M. officials said they had essentially placed the computing power of their popular System 370 family of mainframe computers into a desktop model. Previously a company needing a machine of that power spent upwards of $75,000; the new I.B.M. Personal Computer XT/370 costs about $10,000.

Analysts greeted the introduction as a major breakthrough that will enable I.B.M. to make the personal computer the centerpiece of a whole new line of computer products. With the new models, highly sophisticated software written for some of the largest mainframe computers will operate on the Personal Computer, a feature that experts say will strengthen I.B.M.'s dominance at all levels of the industry.

''The multibillions of dollars in software developed for those mainframes can now run on the personal computer,'' said Robert T. Fertig, president of Enterprise Information Systems, a consulting group. ''They will run slower, but they will run. That's incredible.''

Using a Personal Computer XT/ 370, I.B.M. officials said, a manager wanting to analyze payroll information stored on a System 370, for example, could transfer the data electronically to the personal computer. He could then manipulate the data and re-enter it into the mainframe.

Programmers can also alter a System 370 program at their personal computer and run the program on the mainframe computer while simultaneously performing other tasks on the personal computer. The company said the XT/370 would be available in the second quarter of 1984 for $8,995 to $11,690, depending on memory size.

''It is a very, very powerful machine,'' said Jack Hart, senior analyst with the International Data Corporation in Framingham, Mass. ''If you were going to by a Digital Equipment machine or an Apple or Tandy machine, I.B.M. just gave you a hundred reasons not to.''

The company also introduced the 3270 Personal Computer, which can attach to a number of host computers and display up to seven different ''files'' at once. Like the Lisa model made by Apple Computer Inc., the 3270 shows data as if on sheets of paper.

Although the I.B.M. machine's keyboard movements are considered somewhat awkward, its compatibility with a variety of mainframe computers already installed at many business should make the machine particularly competitive, analysts said. ''If someone is going to buy a Lisa, they will have second thoughts,'' Mr. Fertig said.

Copyright 1983 The New York Times Company