COMPAQ, the US computer giant which is opening a 550 job call centre in Dublin, said yesterday it was acquiring rival, Tandem Computers, in a share exchange deal worth $3 billion (£2 billion).
The Texas based multinational, which is the fifth largest computer company in the world and the largest global supplier of personal computers, will make California based Tandem a wholly owned subsidiary.
The president and chief executive of Compaq, Mr Eckhard Pfeiffer, said the deal would strengthen the company's position as a global leader and broaden its produce base.
"The PC revolution was led by innovators like Compaq. If you want to know where the future of enterprise computing is going, look to where the leader of the PC revolution is taking it," said Compaq's chairman, Mr Ben Rosen.
In February, the company said it would set up its European call centre operation in Blackrock, Co Dublin, creating 550 jobs inside three years. The £6.25 million IDA Ireland backed development is reportedly ahead of schedule, and business is now expected to start by the end of the summer.
Compaq's 1996 global sales were $18.1 billion in more than 100 countries. Tandem, with $1.9 billion in annual sales, designs technology systems for companies and operates in more than 50 countries.
