IBM plans campaign to market Software products

NEW YORK: International Business Machines says it is boosting its ad budget

by 17 per cent, or $110 million, in a move to increase sales and market share of

its software products, the Wall Street Journal reported in its online

edition on Wednesday.

IBM will launch a campaign next week, the paper said. The company expects to

spend 15 per cent or more of the campaign's budget online - about double its

norm, the paper said. "It's a sign of optimism," IBM senior vice

president, software, Steven Mills, was quoted as saying. IBM earlier indicated

it would spend $650 million this year on advertising, about the same as in 2000,

the paper noted.

IBM will spend about $44 million on TV and about $18 million on online

advertising, while the remainder will be spread among other mediums, the papers

said. The ad campaign targets two separate groups - top executives and mid-level

technologists, the paper said.

IBM shares finished up $2.90 at $98.39 on the New York Stock Exchange

Tuesday. The stock has a 52-week high of $134.94 and a 52-week low of $80.13.

(C) Reuters Limited 2001.