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“It's like when IBM drove a lot of innovation out of the computer industry before the microprocessor came along. Eventually, Microsoft will crumble because of complacency, and maybe some new things will grow. But until that happens, until there's some fundamental technology shift, it's just over.”

“Until I came to IBM, I probably would have told you that culture was just one among several important elements in any organization's makeup and success - along with vision, strategy, marketing, financials, and the like... I came to see, in my time at IBM, that culture isn't just one aspect of the game, it is the game. In the end, an organization is nothing more than the collective capacity of its people to create value.”

“The Chinese are quite entrepreneurial. Remember when Lenovo bought IBM's PC division. It was said that China didn't need a brand name, China didn't need to buy Lenovo to get into the PC business, I remember reading a one-liner somewhere which struck me as quite possibly true, it said the one thing that the Chinese had not been able to copy or figure out was the way, in terms of systems, that Americans - it probably would be true for Europeans as well - that Americans install and live by their management systems, while China is still quite half-assed. Perhaps that is a true statement.”

“IBM uses what I like to call the 'hole-in-the-ground technique' to destroy the competition..... IBM digs a big HOLE in the ground and covers it with leaves. It then puts a big POT OF GOLD nearby. Then it gives the call, 'Hey, look at all this gold, get over here fast.' As soon as the competitor approaches the pot, he falls into the pit”

“I believe strongly that a group's potential is eventually limited by the strength of its leadership. I'm an outsider, but it still looks to me like the leadership in the Java w orld is Fouled Up Beyond ALL Recognition. Java ISVs don't know whether to listen to Mom or Dad. Everybody knows IBM should just buy Sun and clean up the mess. When are they going to do it?”

“Innovation has nothing to do with how many R&D dollars you have. When Apple came up with the Mac, IBM was spending at least 100 times more on R&D. It's not about money. It's about the people you have, how you're led, and how much you get it.”

“It was a very big gamble. I lost my job in France, I received a job in which was extremely uncertain, how long would IBM be interested in research, but the gamble was taken and very shortly afterwards, I had this extraordinary fortune of stopping at Harvard to do a lecture and learning about the price variation in just the right way.”

“Artificial intelligence uses a complex set of rules - algorithms - to get to a conclusion. A computer has to calculate its way through all those rules, and that takes a lot of processing. So AI works best when a small computer is using it on a small problem - your car's anti-lock brakes are based on AI. Or you need to use a giant computer on a big problem - like IBM using a room-size machine to compete against humans on Jeopardy in 2011.”

“John Akers once said that changing IBM's culture was more difficult than getting elephants to dance. Of course it's really difficult, as Lou Gerstner also found out years later. The title of his own book is Who Says Elephants Can't Dance? He and his top executives were change masters at IBM. All organizations, especially the larger ones, will always need change masters. Dissatisfaction with the status quo and efforts to improve it should be encouraged rather than discouraged. Regrettably, that is often not the case.”

“Every disruptive innovation is powered by a simplifying technology, and then the technology has to get embedded in a different kind of a business model. The first two decades of digital computing were characterized by the huge mainframe computers that filled a whole room, and they had to be operated by PhD Computer Scientists. It took the engineers at IBM about four years to design these mainframe computers because there were no rules. It was an intuitive art and just by trial and error and experimentation they would evolve to a computer that worked.”