IBM’s System/360, America’s Industrial Pulse, and the Business Landscape of 1968
When business readers picked up the January 1, 1968 issue of Forbes Magazine, they held more than just a financial publication in their hands. They were opening a window into the machinery of American industry at the height of postwar economic power. This special edition — the Twentieth Annual Report on American Industry — featured a striking cover built around IBM’s revolutionary System/360 mainframe computer, a symbol of both technological progress and the emerging digital economy.
For executives, investors, and entrepreneurs, this issue was more than an annual roundup. It was a snapshot of a world in transition — an America wrestling with inflation, global competition, and the promise of computers reshaping industry.
The year 1968 was one of the most dramatic in modern history. While social and political upheaval defined the headlines — the Vietnam War, civil rights protests, and the assassinations of Martin Luther King Jr. and Robert F. Kennedy — the economic landscape was equally transformative.
The United States remained the world’s economic powerhouse, but cracks were beginning to show. Inflationary pressures were mounting, foreign competitors were slowly rising, and automation was reshaping factories and offices alike.
Forbes’ Annual Report on American Industry provided a comprehensive overview of how 414 companies fared in 1967. Each industry — from steel to chemicals, airlines to supermarkets — was analyzed for its profitability, vulnerabilities, and future outlook. For readers, it was both a scorecard of American capitalism and a roadmap to where the economy was heading.
By 1968, Forbes Magazine had become a cornerstone for business leaders who wanted more than surface-level reporting. Its hard financial data, profitability rankings, and deep industry analysis distinguished it from general news outlets.
This issue exemplified that mission. It broke down industries one by one:
-
Steel – “profits were way off,” and the industry faced stagnation.
-
Airlines – despite soaring passenger numbers, regulation and rising costs squeezed margins.
-
Chemicals – earnings dropped after years of strong growth, partly due to synthetic fibers.
-
Auto suppliers and trucks – results were mixed, reflecting shifts in consumer demand.
-
Supermarkets – survival required scale as price competition intensified.
-
Computers and electronics – IBM and rivals signaled the dawn of the digital revolution.
The System/360, highlighted on the cover, symbolized the future. For corporations, computers were no longer just machines — they were strategic assets capable of handling payroll, data storage, and complex analysis. Forbes understood this and placed IBM at the center of its industrial survey.
The cover of the January 1, 1968 issue was bold yet technical. Instead of featuring a CEO portrait or corporate logo, it showcased IBM’s System/360 tape units, photographed in abstract style by Bob Gomel. The design choice was deliberate — technology, not personality, was the new face of power.
Inside, the editorial layout was structured for executives: charts, profitability rankings, Malcolm S. Forbes’ commentary, and sector-by-sector breakdowns. Unlike glossy lifestyle publications, Forbes emphasized clarity, authority, and forward-looking analysis.
Where other business media often celebrated personalities, Forbes combined hard numbers with leadership profiles — CEOs like Fred Borch of General Electric or Robert Magowan of Safeway — to show not only what industries earned, but who was steering them.
From the detailed analysis, several themes stood out:
-
Computers as the future – IBM’s dominance in data processing marked the start of a new era.
-
Steel’s struggles – declining profits reflected the beginning of America’s industrial decline.
-
Supermarkets and retail battles – chains fought for market share and survival.
-
Conglomerates – sprawling corporate structures created both power and risk.
-
Transportation – railroads declined while trucking and autos showed efficiency.
-
Chemicals and oil – volatility revealed dependence on global markets.
-
Airlines – high passenger growth did not guarantee profitability.
-
Natural gas and utilities – steady growth made them the backbone of infrastructure.
-
Credit and finance – high interest rates strained borrowers, while American Express thrived.
-
Consumer goods and packaging – indicators of household spending power and confidence.
Each sector’s story told readers not just about 1967, but about the pressures that would define American business through the 1970s.
For collectors of vintage business media, the Forbes January 1, 1968 issue is a milestone.
-
Historical Timing – Released at the start of a tumultuous year, it documents industry performance on the eve of recessionary pressures and global upheaval.
-
Iconic Cover – The IBM System/360 cover is now recognized as a symbol of early computing history.
-
Comprehensive Survey – The 414-company profitability rankings provide a frozen moment of American corporate power.
-
Cultural Resonance – Owning this issue is holding a piece of 1960s business history, when American companies dominated world markets.
Unlike daily newspapers, which fade, Forbes industry reports endure as reference points for economists, historians, and collectors.
Forbes’ Annual Reports endure because they combine timeliness with permanence. Each one not only reviewed the prior year but forecasted what was to come. For investors, that mix of data and foresight was invaluable.
The 1968 edition captured the optimism of technology, the concerns of inflation, and the emerging cracks in American industry long before they widened. Today, these reports are consulted as time capsules of capitalism’s evolution.
If you’re looking to explore this issue or others like it, thousands of original Forbes magazines are available in our collection. From the 1910s through the 20th century, you can trace decades of entrepreneurship, innovation, and leadership as they were documented in real time.
👉 Browse the full collection of original Forbes magazines here:
Original Forbes Magazines Collection
Whether you’re a business historian, a vintage collector, or someone honoring the memory of corporate America’s golden years, these magazines offer something truly special: a chance to see economic history as it was first reported.
The January 1, 1968 issue of Forbes Magazine stands as one of the most significant business publications of its era. Its coverage of IBM’s System/360 and the profitability of 414 American companies offered readers both a clear-eyed report and a glimpse into the future of technology and industry.
Holding this issue is like holding a time capsule of American capitalism — a record of when industries thrived, when leaders strategized, and when the computer age was just beginning to reshape the world.
For anyone who values economic history, vintage Forbes magazines are not just reading material — they are living artifacts of business evolution.