This article was most recently revised and updated by, https://www.britannica.com/biography/Lou-Gerstner, Washington Speakers Bureau - Biography of Jr. Louis Gerstner, Gerstner, Lou - Student Encyclopedia (Ages 11 and up). In past years, he was a director on numerous public company boards including Bristol-Myers Squibb, The New York Times, American Express, AT&T, and Caterpillar, Inc. A lifetime advocate of the importance of quality K-12 education in America, Mr. Gerstner created The Teaching Commission in 2003 to develop specific policy recommendations to raise the stature, performance and accountability of teachers in U.S. schools. In 2011, the charity reported $94million in assets. "We needed to integrate as a team inside the company so that we could integrate for the customers on their premises. He attended Wabash College between 1989 and 1993, where he obtained an undergraduate degree. With Altimeter raking in billions, Brad Gerstners net worth is estimated at anywhere between $1.0 billion and $2.0 billion. The fund, which is based in Boston, Massachusets had . Culture is king "On . Gerstner also served on boards of directors of a travel technology company SilverRail Technologies, and a travel agency HotelTonight. Gerstner attended Wabash College from 1989 to 1993, where he was a Lilly Scholar and earned a BA in economics and political science. I always viewed culture as one of those things you talked about, like marketing and advertising. "We're going to have a massive recession and much bigger problems.". A securities lawyer, Brad Gerstner graduated from HBS in 2000 and joined General Catalyst. In January 1998, he was appointed as Deputy Secretary of State of Indiana, where he had to manage the Indiana divisions of corporations, securities, and elections. He co-founded Openlist.com, a local search start up that was self-funded and sold to Marchex (Nasdaq: MCHX ); About Us | Gerstner Family Foundation After stepping down from that post in 2008, he served as a senior advisor to the group until 2016. Gerstner: the interview. He founded a technology-focused investment firm called Altimeter Capital in 2008. Gerstner met his future wife, Michelle Boyers, whilst they were both MBA students at Harvard. Lou Gerstner, in full Louis Vincent Gerstner, Jr., (born March 1, 1942, Mineola, New York, U.S.), American businessman best known for the pivotal role he played in revitalizing the ailing IBM in the mid-1990s; he served as CEO of the company from 1993 to 2002. We are no longer accepting comments on this article. The company's own management was in the process of allowing its various divisions to rebrand and manage themselves the so-called "Baby Blues." Lou Gerstner - Wikipedia [13][14], In January 2016, Gerstner and the firm fought with United Continental Holdings to change the company's board of directors. He served as chairman from January 2003 until October 2008 and upon retiring from that position, he continued as a senior advisor to Carlyle through September 2016. [3][4][9][10][11], In 1999, Gerstner returned to school and attended Harvard Business school where he graduated in 2000 with a Master of Business Administration degree. Customers want solutions [1][2], From 1993 to Gerstner's retirement in 2002, IBM's market capitalization rose from $29 billion to $168 billion. Silvergate, SVB, and Signature Bank, which was shuttered by regulators on Sunday, were all medium-sized banks with a focus on speculative tech or crypto investments. [9] Gerstner was the first IBM CEO who was hired from outside the company. This scholarship, designed to support improving levels of attainment within Indiana, helped Gerstner earn a BA in Economics and Political Science. Between 2005 and 2008, Gerstner worked at PAR Capital in Boston as an Investment Portfolio Manager. Bradley Thomas Gerstner was born on May 4, 1971 to Thomas Gerstner and Martha Burt. [20] Long allowed by their managers to believe that employment security had little reference to performance, thousands of IBM employees had grown lax, while the top-performing employees complained bitterly in attitude surveys. Gerstner continued his education by achieving an MBA in 2000 whilst studying at Harvard Business School. [3][4][7][8] He did day trading to help pay for his law school fees. Recent publicity around certain celebrity divorces has shed some light on how to approach an equitable (or at least agreed-upon) division of the assets that arent necessarily top of mind, offering an instructive roadmap that all couples can benefit from. [3][4][6][7][8] He also studied abroad at the University of Oxford from 1991 to 1992. Gerstner also serves as Director at iHeartMedia. Mr. Gerstner is a member of the board of Memorial Sloan-Kettering Cancer Center and chairman emeritus of the board of the Gerstner Sloan Kettering Graduate School of Biomedical Sciences. Who is Brad Gerstners wife? News4Jax Anchor Mary Baer Is Leaving WJXT-TV, News4Jax Meteorologist John Gaughan Is Leaving WJXT-TV. In April 1993 he became the CEO of IBM, a position many considered the toughest in corporate America. Microsoft grew beyond just PC software in the 1990s, hardware companies Apple and Dell expanded their market share, and entirely new entities such as the Google search engine emerged and created new computer-based business empires. He didn't, but it may have looked that way at the time. He worked at NLG for three years, and he helped NLG buy Boston-based venture capital firm General Catalyst and Japanese multinational conglomerate company Softbank. Through Altimeter, the hit gaming company Roblox went public in 2021, and its stocks are soaring. Its market cap was about $65 billion in April 2022. Brad Gerstner serves as the Chairman, Chief Executive Officer and President of Altimeter Growth Corp. Mr. Gerstner founded Altimeter in 2008 with a mission to build a leading . They left for different reasons and their losses will be felt differently. [19], In his memoir, Gerstner described the turnaround as difficult and often wrenching for an IBM culture that had become insular and balkanized. He served as chairman from January 2003 until October 2008 and upon retiring from that position, he continued as a senior advisor to Carlyle through September 2016. Gerstner then co-founded and was CEO of Openlist.com, a vertical search and advertising platform; he successfully sold this business to Marchex in 2006. Lou Gerstner on corporate reinvention and values | McKinsey Get this delivered to your inbox, and more info about our products and services. [3][4] His father was Thomas Gerstner and his mother was Martha Burt. At the time, the technology giant was in dire straits, but Gerstner was able to transform the struggling company on the verge of bankruptcy into a profitable business. Underneath all the sophisticated processes, Gerstner concluded, there is always the company's sense of values and identity. Then-CEO John Akers decided that the logical and rational solution was to split IBM into autonomous business units (such as processors, storage, software, services, printers,) that could compete more effectively with competitors that were more focused and agile and had lower cost structures. 'He was just watching TV at the bar.'. Gerstners father, Louis Gerstner Jr, 71, became the CEO of IBM in 1993. The Carlyle Group's biography of Gerstner, Website for the Gerstner Family Foundation, https://en.wikipedia.org/w/index.php?title=Lou_Gerstner&oldid=1138077373, Leading IBM's historic corporate turnaround in the 1990s, This page was last edited on 7 February 2023, at 22:43. Every confident man is shaken up at least once in a while, and for Louis V. Gerstner it happened on one of his early days at IBM. Workers; In Dutchess County, a Disorienting Time for Employees Less Hardened to Job Loss", "Louis Gerstner III, Son of Celebrated IBM Chairman, Dies at 41", "The Decline and Fall of IBM | I, Cringely", "Louis V. Gerstner Jr. lays out his post-IBM life", "Eric Schmidt appointed incoming Chair of the Broad Institute Board of Directors", "Our Impact & Approach | Gerstner Family Foundation", "Golden Plate Awardees of the American Academy of Achievement". After serving there for one year and ten months, he quit his job to attend Harvard Business School. Cnbc Exclusive: Excerpts: Cnbc'S Scott Wapner Interviews Brad Gerstner By the end of 1994, IBM ceased new development of OS/2 software. From 1996 to 2002 he co-chaired Achieve, an organization created by U.S. Governors and business leaders to drive high academic standards for public schools in the United States. "Meta has drifted into the land of excesstoo many. [12] Gerstner reversed this plan, realizing from his previous experiences at RJR and American Express that there remained a vital need for a broad-based information technology integrator. He also served as chief boat washer in his company. All Rights Reserved. "AGCB Company Profile & Executives - Altimeter Growth Corp. 2 Cl A - Wall Street Journal", "Newcomers To The Midas List 2022: Backing What's Trending At Home And Abroad", "Altimeter Capital's Brad Gerstner Says Facebook's Management Team is Open, Honest, and Transparent", "Wabash Magazine 2020: What Are You Going to Do About This? Brad Gerstner - Wife, Bio, Portfolio & Altimeter - Biography Boyers also served as an assistant superintendent for human resources and deputy director of human resources for the Boston Public School. [28], In 1991, Gerstner received the Golden Plate Award of the American Academy of Achievement.[29]. Following IBM, Mr. Gerstner joined The Carlyle Group, a global private equity firm located in Washington, D.C. IBM's "prospects for survival are very bleak," wrote the authors of the book Computer Wars. It was here that their relationship blossomed; they tied the knot in 2007 during a lavish ceremony at the famous Marthas Vineyard. Gerstner told Leslie Wayne, "I hear that and I can't accept that. Einride feels they are the best path to electric trucks, and that's the best way to reduce emissions. In January 2003, Gerstner assumed the position of chairman of The Carlyle Group, a Washington, D.C. global private equity firm. At IBM he established Reinventing Education as a strategic partnership with 21 states and school districts which utilize IBM technology and technical assistance to eliminate key barriers to school reform and improve student performance. The Olay Scientist Appears on Jeopardy!, Who Is Chris Carlos? He has recently published a memoir, Who Says Elephants Can't Dance? Altimeter Capital also manages a vertically integrated capital markets platform to support companies through theInitial Public Offering (IPO). She worked for the Boston Public School as the Assistant Superintendent for Human Resources. He joins me live. Customers wanted solutions, he said. They had been together since they met as MBA students at Harvard. The firm is currently located in Boston, Massachusetts, and Menlo Park in California. Between 1996 and 2002, Gerstner was the cochair of Achieve, an organization dedicated to pursuing academic excellence in public schools, and while with IBM he established the Reinventing Education program, which worked to integrate IBM technology into schools to assist in student improvement. if(typeof ez_ad_units!='undefined'){ez_ad_units.push([[580,400],'biographyhost_com-medrectangle-3','ezslot_3',114,'0','0'])};__ez_fad_position('div-gpt-ad-biographyhost_com-medrectangle-3-0'); Bradley Thomas Gerstner, alias Brad Gerstnerwasborn on 4 May 1971 in Indiana, the United States. Gerstner stepped down as CEO of IBM in March 2002. We assure our audience that we will remove any contents that are not accurate or according to formal reports and queries if they are justified. Gerstner's career, though, spanned 43 years which also included more than a decade at McKinsey, senior positions at American Express, and four years as chairman and CEO of RJR Nabisco. Gerstners growing fortune and his recent interview has the Internet very curious about who he is. The Foundation primarily makes grants in Biomedical Research, Education, and Helping Hands. Most recently, in 2021, over $48 million was granted across all program areas. Online-Travel King Brad Gerstner Wants Venture Capital Empire People in the business world doubted that Gerstners vision would become fruitful, but it has earned the title of the leading technology-focused investment firm. The Give Forward Foundation was founded in November 2018. if(typeof ez_ad_units!='undefined'){ez_ad_units.push([[250,250],'biographyhost_com-large-leaderboard-2','ezslot_9',148,'0','0'])};__ez_fad_position('div-gpt-ad-biographyhost_com-large-leaderboard-2-0'); Before starting the foundation, Boyers worked as a director of education at Charles and Lynn Schusterman Family Foundation for five years. CNBC Exclusive: CNBC Transcript: Altimeter Capital Founder & CEO Brad He left AmEx in 1989 to succeed Ross Johnson as chairman and chief executive officer of RJR Nabisco following its $25 billion leveraged buyout by Kohlberg Kravis Roberts.[6]. He is Founder, Chairman and CEO of Altimeter Capital. In 2008, Gerstner received the Legend in Leadership Award from the Yale School of Management. In 2022-23 the NBA reached a new Collective Bargaining Agreement, set a new attendance record and maintained ratings despite cord cutting. Gerstner also runs a hedge fund he named, fittingly, Altimeter Capital Management, launched in Boston with less than $3 million raised from friends and family in the depths of the 2008 financial . He owned and operated Wawasee Boat Care for more than three years. His philosophy, quoted as "The importance of managers being aligned with shareholdersnot through risk-free instruments like stock options, but through the process of putting their own money on the line through direct ownership of the companybecame a critical part of the management philosophy I brought to IBM" has been criticized for IBM's management in the late 2000s becoming "fully isolated and immune from the long-term consequences of their decisions".[23][24]. The 41-year-old son of a former CEO of IBM has died after choking on a piece of steak at a New York City diner. Chinese companies have been expanding their operation of robotaxis with no employee aboard Baidu Apollo (sometimes called the Google of China) has expanded in Whuhan, Chongqing and Beijing and AutoX has expanded to Shanghai. [11] In the goal to create one common brand message for all IBM products and services around the world,[1] under Gerstner's leadership the company consolidated its many advertising agencies down to just Ogilvy & Mather. Lou Gerstner is Former Chairman at Broad Institute Inc. See Lou Gerstner's compensation, career history, education, & memberships. Transformation of an enterprise begins with a. The Worlds Best Blended WhiskeyAccording To The 2023 San Francisco World Spirits Competition, BenQ ScreenBar Halo Review: Better Desktop Lighting Gets Wireless Control, Review: Western Digital Elements SE 2TB SSD Provides Cheap, Ultra-Portable Storage. Brad Gerstner Net Worth | Wife - Famous People Today The family lives in Woodside, California and collectively enjoy runs, biking, skiing, and surfing. [17][18] In the letter, Gerstner criticized the company stating it had too many employees and was moving too slowly to retain investor confidence. He left GC and became co- CEO of NLG, an early online travel start-up purchased in part by IAC. In 2008, during an economic downturn, Gerstner took a risk and founded his most notable and successful business venture, Altimeter, with less than $5 million. From 2007 to 2011, he was an investor and advisor to a Seattle-based online real estate marketplace company Zillow. Brad was raised in Goshen in the heart of Elkhart County, Indiana, with his siblingsDouglas, William, and Lynne Vandy. Bloomberg has referred to him as the "Online Travel King" due to his vast travel investment portfolio, including Booking.com, Uber, Airbnb, and Expedia. Louis Gerstner III passed away last Wednesday while dining alone at Lenox Hill Grill Diner on the Upper East Side. They eventually started dating and finally exchanged wedding vows on 29 September 2007 at Martha's Vineyard in Massachusetts. Age, Wife and Facts about the Atlanta Businessman, Bob Brockman Wiki: Facts about the Texas Billionaire Indicted for Tax Evasion, Bernt Bodal Wiki: Facts about the Norwegian-American Businessman, Fahim Saleh Wiki: Facts about the Tech Entrepreneur Found Dead in New York, Lynne Vandy, William Gerstner, Douglas Gerstner, Wawasee Boat Care, Openlist, Altimeter Capital, Wabash College, University of Oxford, Indiana University School of Law, Harvard University, Deputy Secretary of State of Indiana (1998-1999), National Leisure Group as Co-CEO (2000-03). The 41-year-old philanthropist is also listed as the owner of a massive $12.7million colonial mansion in Greenwich, Connecticut. Altimeter is hoping to have similar success by bringing Roblox to the NYSE in 2021. Brad Gerstner - Forbes This LED light bar sits firmly on the top of your computer monitor, bathing your desk top with illumination that can be completely customized using its wireless controller. He focused on technology investments and guided the business into financing Venture Capital deals with Zillow, ITA Software, and Farecast. Meta investor Altimeter Capital's chair and CEO Brad Gerstner wrote as much in an open letter to Meta CEO Mark Zuckerberg on Oct. 24. Between law school and Harvard, Gerstner worked as an associate lawyer for a firm in Indianapolis. "So I didn't need a lot of outsiders. His mother had remarried to one Robert Burt, who passed away in 2016. Grace Brugess, a spokeswoman for the New York City Medical Examiners Office, said that he died at Lenox Hill Hospital. Using IBM's technological finesse to make solutions for customers in addition to just creating fancy technology was also a key to its new strategy. "This wasn't a problem of the startup ecosystem," the investor continued. Recycling royals: How Charles will re-use chairs made for the coronations of his mother in 1953 and 'How can I fix this?' He was a recipient of the Lilly Endowment Community Scholarship Program for his higher education. Gerstner and his family set up the Give Forward family foundation in 2018. Gerstner, L. (2002). From May 1996 to December 1997, Gerstnerservedas a junior lawyer in the venture capital, securities, and corporations sections of Ice Miller, one of the largest law firms in Indianapolis, Indiana. Gerstner said the market was telling Fed Chair Jerome Powell that if the current pace of rate hikes continued, "a lot more stuff" would break. Everyone in the room was actively sharing ideas. It manages over $15 billion of investments in public equity funds and venture capital funds. [15] Soon after, Gerstner announced e-business as IBM's growth strategy and formed the IBM Internet Division, led by Irving Wladawsky-Berger. Services could be sold as an add-on to companies that had already bought IBM computers, while barely profitable pieces of hardware were used to open the door to more profitable deals. The Pecron E2000LFP delivers a lot of bang for the buck. Andover Audio supersizes the original SpinBase turntable speaker to the SpinBase MAX, with 60W of power and a 4-driver array including dual 3.5-inch woofers. Its market cap was about $65 billion in April 2022. Our dedicated Editorial team verifies each of the articles published on the Biographyhost. Gerstner said the risk to the regional banking sector went far beyond just SVB or "young startup founders," but that it's important to note the "prime source" of funding for that market disappeared "virtually overnight. Official biography of Louis V. Gerstner, Jr. Full Biographical Profile of Louis V. Gerstner, Jr. In 2011, he launched his metasearch site, Room 77, due to his passion for finding quality hotels for his business trips. Inside IBM's Historic Turnaround (HarperBusiness 2002). After earning his JD, he had a brief legal career and job in public service. I'm a doctor and here are the 5 signs you may have intestinal parasites, Why I've ditched a lifetime of possessions and downsized at 70 for my children. Gerstner: Changing Culture at IBM - Lou Gerstner Discusses Changing the Altimeter Capital Chairman and CEO Brad Gerstner said his hedge fund sold stakes in United Airlines and Expedia, adding that easy gains from the rebound in travel stocks have been realized. I just needed a few.". Please refer to the appropriate style manual or other sources if you have any questions. In recognition of his work on behalf of public education, as well as his business accomplishments, Gerstner was awarded the designation of honorary Knight of the British Empire by Queen Elizabeth II in June 2001. Since stepping down from IBM in 2002 he has continued to lead an active "portfolio" life in education, healthcare, and private equity. He is largely credited with turning IBM's fortunes around. According to the owner of the restaurant, the 41-year-old married father of two ordered the $24.99 Georges steak - a 16oz cut of beef topped with grilled mushrooms and red onions - which he washed down with a couple of vodka shots. 2023 CNBC LLC. Data is a real-time snapshot *Data is delayed at least 15 minutes. Brad Gerstner Wiki: Wife, Family, Net Worth and Other Facts Gerstner became a Director of iHeartMedia, an American mass media corporation, in 2019. We commit to cover sensible issues responsibly through the principles of neutrality. Most recently, the 41-year-old served as president of the Gerstner Family Foundation, providing education opportunities to underprivileged children, the New York Times reported. Gerstners father passed away, leaving his mother, Martha, to remarry Robert Burt, who passed away in 2016. The couplehastwo sons, Lincoln and Jack. Louis V. Gerstner, Jr. served as chief executive officer and chairman of the board of IBM Corporation from April 1993 to March 2002 and chairman until his retirement in December 2002. Brad Gerstner: The Fed needs to slow down or 'stuff is going to - CNBC Many companies are looking to make self-driving trucks. It also manages a vertically integrated capital markets platform to support companies through theInitial Public Offering (IPO).if(typeof ez_ad_units!='undefined'){ez_ad_units.push([[728,90],'biographyhost_com-box-3','ezslot_1',113,'0','0'])};__ez_fad_position('div-gpt-ad-biographyhost_com-box-3-0'); Brad Gerstner is the founder and CEO of an American investment firm, Altimeter Capital. "You don't 'win' with strategy," he said. 2023 Forbes Media LLC. Louis V. Gerstner, Jr. served as chief executive officer and chairman of the board of IBM Corporation from April 1993 to March 2002 and chairman until his retirement in December 2002. "No institution will go through fundamental change unless it believes it is in deep trouble and needs to do something different to survive.". The 2022-23 NBA Season In Review And A Look Ahead, What Kim Kardashian, Brad Pitt, And Cheryl Burke Can Teach Us About Dividing Unconventional Assets Throughout A Divorce, Do Not Sell or Share My Personal Information, Limit the Use of My Sensitive Personal Information. There's no way to create a unique strategy. Last meal: Gerstner choked to death while eating a 16oz aged steak topped with mushrooms and red onions, Dinnertime drama: Gerstner was eating at the counter at Lenox Hill Grill and watching TV when he fell back in his chair. [26], Gerstner established the Gerstner Family Foundation in 1989[27] and serves as the chairman. As a result of the takeover, the company was saddled with a massive $25 billion debt, with annual interest costs of $3 billion. By Friday, SVB had been closed by regulators. The following day, SVB shares cratered after the bank said it was selling securities at a loss and trying to raise cash, leading many venture-backed tech clients to pull their funds. Not only was the division continually the most profitable in the company, but it also led the entire financial services industry. Currently, Gerstner is the chairman of the board of directors of the Broad Institute of MIT and Harvard[3] and chairman of the board of the Gerstner Sloan Kettering Graduate School of Biomedical Sciences.[4]. Louis Vincent Gerstner Jr. (born March 1, 1942) is an American businessman, best known for his tenure as chairman of the board and chief executive officer of IBM from April 1993 until 2002, when he retired as CEO in March and chairman in December. [21] Despite his success[13] Gerstner also presided over the company's decline, relative to newer rivals, as it lost its once-dominant position in the IT industry. Living the high life: Gerstner owned a $2million two-bedroom apartment on the Upper East Side, not far from the Lenox Hill Grill, Home base: The 41-year-old philanthropist is listed as the owner of a massive $12.7million colonial mansion in Greenwich, Connecticut, just steps away from the Long Island Sound. 'A waste of licence payers' money!' While there, he also studied politics, philosophy, and economics overseas at the University of Oxford from 1991 to 1992. A Division of NBCUniversal. Brad Gerstner is an American investor and entrepreneur. He also served as the Indiana Deputy Secretary of State for a term. Despite these successes, Gerstner hit a ceiling at American Express, as chief executive James D. Robinson III was not expected to retire for another 12 years. "IBM's extraordinary success in the '60s and '70s was built on one of the most dynamic sales cultures in the world," he said. Playing tourist! gerstner on net exposure So, you can, you know, when we're managing our hedge fund, we think a lot about that our net exposure today is 50% versus 90% last year. Einrides Self-Driving Goal Is Medium-Haul Electric Trucks, Not Long Haul. He achieved this by finding new uses and users for the card, such as college students, physicians, and women, as well as persuading corporations to adopt the card as a more effective way of tracking business expenses. Every confident man is shaken up at least once in a while, and for Louis V. Gerstner it happened on one of his early days at IBM. The prevailing wisdom of the time held that IBM's core mainframe business was headed for obsolescence. He had the advantage of being an outsider when he joined the company after working at McKinsey & Co., American Express Company, and RJR Nabisco. He was born on May 4, 1971, in Indiana, to his parents Martha Burt and Thomas Gerstner. Gerstner happily quotes the doom-laden predictions about IBM's future that were prevalent when he took over as CEO in 1993, a year the company posted an $8 billion loss, and IBM shares that had sold for $43 in 1987 could be had for $12. In January 2003, he assumed the position of chairman of The Carlyle Group, a global private equity firm located in Washington, D.C.