The year begins with a Y2K-related drop-off in customer demand and the collapse of the dot-coms. If 2000 is seen as a watershed for e-business, 2001 is the year the world's established enterprises awake to its true possibilities -- and information technology requirements. In addition, IBM debuts a new generation of servers -- the eServer -- for meeting entirely new, unprecedented demands on the underlying infrastructure supporting e-business.
The 2000's are also marked by a transition in IBM's leadership. Samuel J. Palmisano becomes president and chief operating officer in 2000 and then, two years later, he is named chief executive officer of IBM. As CEO, Palmisano succeeds Louis V. Gerstner, Jr., who remains IBM chairman through 2002.