Yahoo!/Reuters: Tech’s Last Hope — Services — May Be Fading as Well

“One of the technology industry’s last defenses against
a weak economy — its steady stream of services business — may
have started to fall, kicking out one of the last supports after
hardware and software sales have faltered.

Titans such as IBM Corp. (NYSE:IBM)
have parlayed their expertise into long-term consulting contracts
with corporations to keep computer systems humming and integrate
complicated technology.

The subscription contracts, which often run for years, have been
a welcome, steadying influence on results for vendors such as
IBM.”

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