Digital Plans to Market PCs Again
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NEW YORK — Digital Equipment Corp. stock fell despite expectations that the company would today announce that it has agreed to sell Tandy Corp.’s top-of-the-line personal computer, the model 5000, under its own label, according to computer industry sources.
Digital shares dropped $2.625 to close at $89.625 on the New York Stock Exchange.
The agreement would mark Digital’s re-entry into the desktop computer market. Four years ago, Digital abandoned its unsuccessful Rainbow personal computer after suffering losses and getting a weak reception in the marketplace. Since then, personal computers have been a glaring gap in Digital’s product line.
Tandy would not comment, but Digital said that it will announce a “major microcomputer agreement” today.