IBM marks a milestone as woman takes over as CEO

San Francisco: IBM has passed a milestone, naming the first female CEO in the company's 100-year history.

The selection of Virginia ‘Ginni' Rometty, announced on Tuesday, is also a statement about the growing influence of women in the top tiers of business. Although women have made momentous strides, breaking through corporate America's "glass ceiling" over the past half century, a woman's ascendance into the chief executive position of a major corporation still holds significance. Currently, only 16 Fortune 500 companies are led by a woman, Rometty will be the 17th when her appointment takes effect on on January 1.

Even so, two of the world's biggest technology companies will have female leaders. Last month, Hewlett-Packard named Meg Whitman, former eBay chief and candidate for California governor, as its CEO.

Their appointments are "setting a fabulous example" in the promotion of female executives, said Jean Bozman, an analyst with IDC who has followed IBM and HP closely for years.

"It does create an environment in which more of these high-ranking women executives can see that's within reach," Bozman said. "The more that happens, the more normal that will be. I think this might be a great sign that we've turned a corner. Certainly the Baby Boomers have wanted this for a long time."

Rometty, IBM's sales and marketing chief, is taking over from Sam Palmisano, who this year turned 60, the age at which IBM CEOs have traditionally stepped down.