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High Tech News

Diebold Weighs Strategy for Voting Unit

Sunday, March 04, 2007 3:29:10 PM
By M.R. KROPKO

 Randy Fox, right, explains how to work the printer housing on a Diebold Electronic Voting Systems unit during a training session in Cleveland in this Oct. 11, 2006 file photo. Just five years after Diebold boldly plunged into the changing United States e-voting market, some close observers think it may soon try to find a way out. (AP Photo/Tony Dejak)CLEVELAND (AP) - Diebold Inc. saw great potential in the modernization of elections equipment. Now, analysts say, executives may be angling for ways to dump its e-voting subsidiary that's widely seen as tarnishing the company's reputation.

Though Diebold Election Systems — the company's smallest business segment — has shown growth and profit, it's faced persistent criticism over the reliability and security of its touch-screen voting machines. About 150,000 of its touch-screen or optical scan systems were used in 34 states in last November's election.

The criticism is particularly jarring for a nearly 150-year-old company whose primary focus has long been safes and automated teller machines.


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