Getty Images
GE Chairman and Chief Executive Jeffrey Immelt announced the move.

GE Launches Digital Division, Focusing on IoT

Sept. 14, 2015
As the company sheds financial assets to focus on its core industrial businesses, GE said it was "building the playbook for the new digital industrial world."

NEW YORK--General Electric (IW 500/6) launched a digital division Monday that it hopes will propel the U.S. industrial conglomerate into the top ranks of the software industry.

As the company sheds financial assets to focus on its core industrial businesses, from making aircraft engines and home appliances to equipment for power grids, GE said it was "building the playbook for the new digital industrial world."

The new GE Digital, harnessing all of its digital capabilities, will be led by chief digital officer Bill Ruh, GE's software chief. Jeffrey Immelt, GE chairman and chief executive, said in a in a statement that the newly formed digital industrial company "will provide GE's customers with the best industrial solutions and the software needed to solve real world problems."

Immelt has his sights set on increasing GE's software and analytics business from $6 billion in 2015 "to a top 10 software company by 2020."

The Fairfield, Conn.-based GE has been shedding financial businesses as it aims to divest $100 billion in assets by the end of 2015. With the sale last week of GE Capital's transportation finance unit to Canada's BMO Financial Group, the company said it had racked up about $85 billion in sales so far this year.

As part of GE's refocus on its industrial strength, Immelt engineered the purchase of French firm Alstom's energy assets. The deal cleared the final antitrust regulatory hurdles on September 8 in the European Union and the United States.

Also Monday, GE announced several leadership changes. Mark Begor, the head of GE Energy Management, credited with paving the way for growth from the Alstom acquisition, is retiring after 35 years with the company, it said.

Begor will be succeeded by Russell Stokes, 44, an 18-year GE veteran who most recently led the transportation business.

Taking Stokes's place as president and CEO of transportation will be Jamie Miller, 47, senior vice president and chief information officer. GE said she drove the company's digital transformation through global IT strategy, services and operations.

"All of our business leaders will be critical to our success as a digital industrial company and will help lead us through this generational change for GE," said Immelt.

Shares in Dow member GE were down 1.0 percent at $24.70 in afternoon trade on the New York Stock Exchange.

Copyright Agence France-Presse, 2015

Popular Sponsored Recommendations

Guide to Turning Product Data into Profitable Content and Experiences

Sept. 11, 2023
Businesses can lose up to 9.5% of their annual revenue due to bad digital experiences. This guide highlights the need for enriched product content to deliver profitable content...

How to Build Zero-Cost On-Site Solar and Storage Projects

Nov. 25, 2023
The Inflation Reduction Act offers tax credits, incentives, and financing that enable no-cost projects. In Enel’s eBook, discover the critical role that incentives play in your...

A Quantitative Comparison of Digitized Industrial Automation Systems

Aug. 9, 2023
This paper presents data gathered from actual field research. The data suggests that a move away from traditional, heavily engineered, and proprietary systems to user experience...

Risk-Based Asset Management (RBAM): Accounting for Risk in Your Asset Management Strategy

Sept. 14, 2023
What if you could get more out of assets, reduce the risk of critical failures AND keep all your stakeholders happy? It’s called risk-based asset management, or RBAM, and it’ll...

Voice your opinion!

To join the conversation, and become an exclusive member of IndustryWeek, create an account today!