Information technology is the "digital nervous system" of any business, Microsoft chairman Bill Gates told fellow executives Thursday.
"No matter what business you are in, it's my claim that the excellence of that system determines your competitiveness," he said.Gates, who invited 100 chief executives for a two-day conference here on the value of information technology to business, also cautioned them not to underestimate the growing role computers will play in everyday life.
While Gates made no overt sales pitch, he said corporations should give their "knowledge workers" the computers and software needed to perform a variety of tasks, a strategy obviously beneficial to Microsoft, the world's largest producer of personal computer software.
Vice President Al Gore spoke to the gathering after a morning visit to a nearby Boeing Co. plant. At both events, he described a "new economy" that allows business and government to adapt to change.
Attendees also heard from Steve Forbes, the millionaire publisher and one-time Republican presidential candidate. Forbes reiterated several of his campaign themes, including the need for a flat tax.
Among those attending were Paul Hazen, chairman and CEO of Wells Fargo and Co.; GTE chairman and CEO Charles R. Lee; Reed E. Hundt, chairman of the Federal Communications Commission; and Robert L. Crandall, chairman and CEO of AMR Corp., the parent of American Airlines.
Reporters were not allowed in the sessions but were able to watch the speeches over closed-circuit television.
Gates and his company have made a fortune developing software for individual personal computers. Not surprisingly, that continues to be Gates' vision of the future.
In the marketplace, "the PC model has really won out" and has allowed both hardware and software development to go ahead at full speed, he said.
He said the personal computer will become more important to businesses as the machines prove their ability to take on more demanding tasks. And he predicted more business transactions will be conducted over the Internet.
"Kids going to college today live what I call a Web lifestyle," he said, noting they use the global network to communicate, shop and plan their schedules.
As machines become easier to use, "I think it's safe to say that within 10 years, a majority of all adults will be living that Web lifestyle," Gates said.