Former Google CEO Eric Schmidt has publicly paid homage to the late Louis Gerstner, the celebrated former Chairman and CEO of IBM, who passed away on December 27, 2025, at the age of 83. Schmidt took to social media platform X to share his condolences and praise Gerstner's monumental career, particularly his role in rescuing IBM from the brink of collapse.
A Legacy of Leadership and Turnaround
In his heartfelt post, Eric Schmidt described Louis Gerstner as "one of the great American businessman" and a significant personal mentor. Schmidt highlighted Gerstner's historic nine-year tenure from 1993 to 2002, during which he engineered one of the most remarkable corporate recoveries in history. "After turning around IBM (a historic feat) he became the Chair of the Broad Institute," Schmidt noted, mentioning he later succeeded Gerstner in that role.
Schmidt emphasized that beyond sharp business acumen, Gerstner's true genius lay in his insight into people. "He had an uncanny ability to find the great leaders within every company he worked with," Schmidt wrote. He also remembered Gerstner as someone devoted to his family, friends, companies, and the advancement of science and education, concluding with, "He will be missed."
The Architect of IBM's Revival
Louis Gerstner's entry into IBM in 1993 was a pivotal moment. He was the first outsider to lead the company, then nicknamed 'Big Blue,' which was facing severe financial uncertainty. Before joining IBM, Gerstner had held top positions at RJR Nabisco, American Express, and consultancy firm McKinsey.
His strategy to save IBM was multifaceted and decisive:
- He shifted the company's focus decisively toward integrated business services and solutions.
- He implemented significant changes to the corporate strategy and workplace culture.
- To stabilize finances, he cut costs, sold non-core assets, and approved share buybacks.
This bold repositioning steered IBM away from near-collapse and laid the foundation for its future as a services and technology giant. Gerstner retired as CEO of IBM in 2002.
Industry Mourns a Titan
The news of his passing was communicated to IBM employees by the company's current CEO, Arvind Krishna, via an internal email. Krishna acknowledged Gerstner's crucial role, stating, "Lou arrived at IBM at a moment when the company's future was genuinely uncertain. His leadership during that period reshaped the company. Not by looking backward, but by focusing relentlessly on what our clients would need next." The cause of death was not disclosed.
The tributes from leaders like Eric Schmidt and Arvind Krishna underscore Louis Gerstner's enduring legacy as a transformative figure in global technology and business. His story remains a masterclass in leadership, strategic vision, and corporate renewal.
