Tables Turn For Xerox Spin-Off

Although Envos Corp., an artificial intelligence spin-off of the Xerox Corp., folded back into Xerox last spring after nine months in operation, the parent company is “absolutely” committed to developing similar ventures in the future, according to Xerox spokesman Peter Hawes. “We have been trying to identify [Xerox] technologies,” says Hawes, “and choose which. ..might lend themselves to alternative exploitation.” Envos, which was85% owned by its employees, was one of approximately six Xerox spin-offs and joint ventures created since 1983. Envos’ product line consisted primarily of Lisp systems. Of its 22 professional employees, 13 were laid off; the remainder continue to work for Xerox, either as employees in other areas or as consultants.

Roger McKee, Envos’ former chief executive officer now working for the Xerox Connection, an internal unit based in El Segundo, Calif., says Envos’ problems began when the initial business plan was not...

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