861110 Unisys

This "Competitive Update" document from Digital Equipment Corporation (DEC), dated November 10, 1986, provides an internal analysis of key competitors and Digital's strategic positioning.

The main topics covered are:

1. Burroughs/Sperry Merger: Analyzes the recent acquisition, highlighting the merged entity's aim to challenge IBM. It discusses Sperry's shift to systems integration and UNIX-based systems, and Burroughs' focus on a single, upwardly compatible mainframe series. The document notes significant challenges for the new company due to incompatible product lines and corporate cultures, predicting potential customer defection to IBM or Digital.
2. Computer-Aided Software Engineering (CASE): Positions Digital as a leader in CASE tools, emphasizing its comprehensive VAX-based integrated programming environment (VAXset), broader range of high-level language compilers, and unique ADA offerings, which are presented as superior to those from Apollo and Sun.
3. Minisupercomputers (Alliant, Convex, Sequent): Provides strategies for competing against new "hot-box" vendors. While these companies offer specialized performance (especially for vectorizable FORTRAN applications), Digital stresses the VAX's predictable performance, broader application support, better overall system integration, support, and stability for diverse, real-world workloads, countering the competitors' niche focus.
4. Data General's MV/7800: Details Data General's struggling market position and their aggressive, price-driven re-entry into the technical market. Digital highlights DG's weak product line, lack of integration, and poor market positioning, asserting Digital's strong competitive advantage.
5. Digital Application Center for Technology (ACT) Program: Introduces Digital's new sales support initiative, the ACT program. These centers integrate various functions to provide hands-on demonstrations and expert consultation, aiming to showcase Digital's total solution capabilities and foster stronger customer relationships.
6. AT&T and ISDN: Examines AT&T's strategy to enter the computer industry via telecommunications and a proprietary vision of ISDN (Integrated Services Digital Network). Digital counters by exposing AT&T's lack of true system integration across its product lines, reliance on third-party solutions, and non-standard approaches, while promoting Digital's own integrated Office Automation (ALL-IN-1) and commitment to open standards for addressing current customer business needs.

Overall, the document serves as a guide for Digital's sales and competitive analysis teams, providing insights into competitor strategies and highlighting Digital's strengths to secure market share.