Nixdorf Computer

Nixdorf Computer was a West German computer company founded by engineer and entrepreneur Heinz Nixdorf in 1952. It began as Labor für Impulstechnik, a small development and manufacturing business established with financing from Rheinisch-Westfälisches Elektrizitätswerk (RWE). Nixdorf had identified an opportunity in electronic calculators and compact data-processing equipment while working at Remington Rand. Rather than compete directly with the large mainframe manufacturers on their own terms, he pursued relatively affordable systems that could be installed close to the user in offices, banks, retailers, and other operating environments. The company delivered its first calculator in 1952 and subsequently supplied equipment to customers including Wanderer-Werke and Compagnie des Machines Bull. Its early product work included the Wanderer Conti, described as an early printed desk calculator, and the Nixdorf-Universalcomputer 820. The business moved to Paderborn, Nixdorf's home city, during the 1950s and established a permanent industrial base there. Paderborn remained central to the company's identity and later became home to institutions associated with Heinz Nixdorf's technological and educational legacy. A major strategic shift came in the late 1960s. Nixdorf moved away from reliance on distributors and began building its own sales organization. It acquired a controlling interest in its important customer Wanderer-Werke in 1968, and the two businesses were combined on October 1 of that year to form Nixdorf Computer AG. The company used semiconductor technology and smaller, more accessible systems to address organizations that found conventional mainframes too expensive or cumbersome. The Nixdorf 820 brought computing into office settings, while later systems expanded into data capture, telecommunications, enterprise applications, retail, and hospitality. During the 1970s Nixdorf became a German leader in mid-range computing and expanded internationally. It maintained operations or subsidiaries in a growing number of countries and was represented in 22 countries by 1972. The 88xx data-capture family, introduced in the middle of the decade, was an important commercial success. Nixdorf also built a distinctive ecosystem around its business, investing in employee training through the Bildungszentrum für informationsverarbeitende Berufe and supporting employee recreation through the Ahorn-Sportpark in Paderborn. By the late 1970s the company had become one of Europe's largest computer businesses. Its activities included transaction processing, point-of-sale systems, communications equipment, office systems, software, and computer services. It expanded its software capabilities through the 1980 acquisition of The Computer Software Company in the United States, whose products included operating systems and database-related offerings for IBM-compatible mainframes. Nixdorf also developed or marketed systems such as the 8870 for business applications and the 8818 for digital telecommunications. The company's rapid expansion required substantial capital. Deutsche Bank acquired a minority holding, and Nixdorf later raised additional funds through a public offering on the Düsseldorf Stock Exchange. In 1985, shortly before Heinz Nixdorf's death, the company reported sales of 4 billion Deutsche Mark and employed approximately 23,000 people in 44 countries. Nixdorf died of a heart attack at the 1986 CeBIT trade fair in Hanover. After his death, Klaus Luft initially oversaw further growth, but the company struggled to respond to the personal-computer transition and to changes in the computing industry. Operating performance deteriorated in the late 1980s, leading to cost reductions, leadership changes, and a strategic withdrawal from IBM-compatible mainframe systems. Nixdorf transferred its 8890 mainframe business to Comparex Informationssysteme and stopped further development of its Edos successor operating system. The company instead sought to concentrate on Unix and other areas with better long-term prospects. Siemens acquired Nixdorf's shares in 1990, creating Siemens Nixdorf Informationssysteme (SNI). The transaction ended Nixdorf Computer as an independent company and was followed by significant restructuring and job reductions in Paderborn. The Nixdorf name nevertheless survived in the later Wincor Nixdorf business, created after SNI was acquired by financial investors in 1999. Wincor Nixdorf subsequently specialized in automated teller machines, retail cash systems, and reverse-vending equipment, and merged with Diebold in 2016 to form Diebold Nixdorf. Thus, Nixdorf Computer's direct corporate life ended in 1990, while its name and technical heritage continued in transaction-technology businesses.

Heinz Nixdorf founded Labor für Impulstechnik on July 1, 1952, after developing an interest in electronic calculators while working for Remington Rand. Early financing from RWE enabled the company to build and sell its first calculator in the same year. It soon supplied equipment to industrial customers such as Wanderer-Werke and Compagnie des Machines Bull. The business grew rapidly and moved to Paderborn, where it developed a lasting corporate and cultural base. During the 1960s Nixdorf pursued a more integrated commercial model. It began establishing direct sales operations and acquired its largest customer, Wanderer-Werke. Their combination on October 1, 1968 created Nixdorf Computer AG. The company differentiated itself by developing smaller and less expensive systems for offices and operational departments, challenging the assumption that computing required a centralized mainframe. The Nixdorf 820 and subsequent systems helped establish the company in business data processing. Nixdorf grew particularly quickly in the 1970s. It became a German market leader in mid-range computing, expanded across Europe and into the United States and Asia, and introduced the successful 88xx data-capture family. Its product portfolio broadened into point-of-sale technology, inventory control, telecommunications, enterprise systems, and software. The company also built training and employee facilities, including the b.i.b. vocational institution and the Ahorn-Sportpark in Paderborn. The business reached a high point in the first half of the 1980s. It raised capital through Deutsche Bank and a public offering, acquired The Computer Software Company in 1980, and marketed systems ranging from ISDN PBXs to IBM-compatible mainframes. Heinz Nixdorf died at CeBIT in March 1986. His successor Klaus Luft initially presided over further expansion, but the company subsequently suffered from changing demand, rising losses, and an inadequate response to the personal-computer market. Luft resigned in 1989 and Horst Nasko succeeded him. In 1989 Nixdorf abandoned the IBM-compatible mainframe market and transferred its 8890 line to Comparex. The company stopped further development of its Edos operating-system successor and focused more heavily on Unix. Siemens acquired Nixdorf in 1990, creating Siemens Nixdorf Informationssysteme and ending Nixdorf Computer's independent existence. The Nixdorf name later reappeared in Wincor Nixdorf, a transaction-technology successor that eventually became part of Diebold Nixdorf.

• 1990

  Siemens takeover ends independent operation

  [1]Nixdorf Computeren.wikipedia.org

  Nixdorf was combined with Siemens to form Siemens Nixdorf Informationssysteme.

• 1989

  Mainframe strategy is changed

  [1]Nixdorf Computeren.wikipedia.org

  Nixdorf exited the IBM-compatible mainframe business and redirected its strategy toward Unix.

• 1986

  Heinz Nixdorf dies

  [1]Nixdorf Computeren.wikipedia.org

  The founder died of a heart attack at the CeBIT trade fair in Hanover on March 17, 1986.

• 1984

  Nixdorf becomes publicly listed

  [1]Nixdorf Computeren.wikipedia.org

  The company raised capital through a public offering on the Düsseldorf Stock Exchange.

• 1978

  Sales pass one billion Deutsche Mark

  [1]Nixdorf Computeren.wikipedia.org

  The company reached reported sales of one billion Deutsche Mark and employed more than 10,000 people worldwide.

• 1975

  The 88xx data-capture line is introduced

  [1]Nixdorf Computeren.wikipedia.org

  The new family extended Nixdorf's presence in transaction processing and operational data collection.

• 1969

  Employee training institution is founded

  [1]Nixdorf Computeren.wikipedia.org

  Heinz Nixdorf established the basis for the Bildungszentrum für informationsverarbeitende Berufe, completed in 1972.

• 1968

  Nixdorf Computer AG is formed

  [1]Nixdorf Computeren.wikipedia.org

  The combination of Labor für Impulstechnik and Wanderer-Werke created Nixdorf Computer AG.

• 1954

  Operations move toward Paderborn

  [1]Nixdorf Computeren.wikipedia.org

  Expansion led the company to rent larger premises in Paderborn, which later became its permanent headquarters.

• 1952

  Labor für Impulstechnik is established

  [1]Nixdorf Computeren.wikipedia.org

  Heinz Nixdorf founded the original business to develop and manufacture electronic calculators, supported by early RWE financing.

A practical, customer-oriented European computing company focused on affordable distributed data processing and transaction systems rather than the centralized mainframe model associated with the largest American manufacturers.

• Office and mid-range computer · 1968

  Nixdorf 820

  Introduced in the late 1960s, the Nixdorf 820 represented the company's effort to bring affordable electronic data processing into ordinary offices. It used semiconductor technology and was offered in configurations adapted to different applications. Its positioning contrasted with large centralized mainframes by emphasizing proximity to business users and lower acquisition costs. The family remained an important part of Nixdorf's product identity through the 1970s.

• Data-capture and transaction systems · 1975

  88xx family

  The 88xx family, introduced in the mid-1970s, supported Nixdorf's expansion into data capture and operational transaction processing. The line included systems for retail, hospitality, communications, and business applications. Its success helped establish Nixdorf as a specialist in environments where computers had to support continuous, practical workflows rather than only general-purpose office computation.

• Point-of-sale and inventory systems · 1976

  Nixdorf 8812 and 8862

  The 8812 was a computerized point-of-sale system designed for retail and hospitality operations. When connected with an 8862 system, it could support broader inventory-management functions. These products illustrate Nixdorf's emphasis on integrated transaction technology, an area that later became central to the Wincor Nixdorf and Diebold Nixdorf successor businesses.

• ISDN private branch exchange · 1982

  Nixdorf 8818

  The 8818 was an ISDN private branch exchange introduced in 1982. It supported installations ranging from dozens to several thousand terminals and offered concurrent calls, conferencing, and the ability to connect physically separate exchanges into one logical system. Nixdorf presented it as a major German telecommunications product, and compatible successors remained available for many years.

• Business computer and enterprise system · 1980

  Nixdorf 8870

  The 8870 was a business-oriented system associated with software environments including Niros OS, Business Basic, Tamos, and Comet. It targeted enterprise and administrative applications and reflected Nixdorf's attempt to provide a complete combination of hardware, operating software, and business tools for organizations outside the mainframe elite.

• IBM-compatible mainframe · 1985

  Nixdorf 8890

  The 8890 was an IBM System/370 and System/390-compatible computer sourced from Hitachi and marketed by Nixdorf. It represented the company's participation in the mainframe-compatible market during the 1980s. Nixdorf transferred the line to Comparex in 1989 as part of its withdrawal from IBM-compatible mainframes.

• Mainframe operating system · 1980

  Edos

  Edos was an operating system for lower-end IBM and compatible mainframes, derived from IBM's DOS/VS family and unrelated to consumer PC DOS. Nixdorf obtained the technology through its acquisition of The Computer Software Company in 1980. The software supported Nixdorf's mainframe offerings, but further development of its successor was cancelled when the company withdrew from that market.

• 1990

  Combine with SiemensM&A

  Background

  Nixdorf's financial difficulties and need for a larger corporate platform made an ownership change necessary.

  Action taken

  Siemens took over Nixdorf shares and combined the businesses as Siemens Nixdorf Informationssysteme.

  Aftermath

  The transaction ended Nixdorf Computer as an independent company and led to substantial restructuring and redundancies in Paderborn.

  Source

• 1989

  Exit the IBM-compatible mainframe marketStrategy

  Background

  Nixdorf faced mounting losses and needed to adapt its product strategy to a changing computer industry.

  Action taken

  The company transferred the Nixdorf 8890 hardware business to Comparex, cancelled work on the next Edos release, and placed greater emphasis on Unix.

  Aftermath

  The move reduced Nixdorf's commitment to its own mainframe platform but did not prevent the company from being taken over by Siemens the following year.

  Source

• 1980

  Acquire The Computer Software CompanyM&A

  Background

  Nixdorf sought software capabilities for IBM-compatible mainframe environments.

  Action taken

  It acquired the United States-based Computer Software Company and operated it as Nixdorf Computer Software Company.

  Aftermath

  The acquisition added Edos and related software assets, although a later licensing dispute with Applied Data Research was settled out of court in 1981.

  Source

• 1967

  Build a direct sales organizationStrategy

  Background

  Nixdorf had previously relied substantially on distributors while its products and customer base were expanding.

  Action taken

  The company began creating its own sales companies and geographic operations, including an early presence in Berlin.

  Aftermath

  Direct distribution gave Nixdorf closer access to customers and supported its international expansion.

  Source

1. 1Nixdorf Computeren.wikipedia.org