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===Cancellation===
Most of the ASC upper management team left, and Amdahl was placed in command. The AEC/360 continued development along the proposed lines, with the only major change being the introduction of generalized [[register renaming]] as part of the out-of-order system and changes to the [[branch prediction]] system to work with the 360 instruction set
While calculating the cost of the machine, Amdahl concluded that there was no way its sales could turn a profit. This was a serious risk to the company, as introducing a high-end machine that was guaranteed to lose money could be seen as anti-competitive behaviour, an attempt to take the market away from companies like CDC. IBM faced a similar problem with Stretch, but over time it was shown that the R&D in that project had been widely used in the company and if it was billed out then it was slightly positive.{{sfn|Aspray|2000|p=27}} To allow ACS/360 to more clearly turn a profit, Amdahl suggested producing three models of the same basic system, the original ASC/360, a smaller model with {{frac|3}} the performance, and an even smaller version with {{frac|9}}, which would still make it the fastest machine in IBM's lineup.{{sfn|Smotherman|Sussenguth|Robelen|2016|p=67}} This proposal was rejected.{{sfn|Aspray|2000|p=27}}
In May 1969, IBM upper management instead decided to cancel the entire project.{{sfn|Smotherman|Sussenguth|Robelen|2016|p=67}} What had initially been intended to be a project to compete with the fast-moving CDC had now stretched on for the better part of a decade and showed little evidence that it would ever be worthwhile. Amdahl later claimed it was cancellation was due primarily to it upsetting IBM's carefully planned pricing structure. The company as a whole had an understanding that machines above a certain performance level would always lose money and that introducing a machine that was as fast as the ASC/360 would require it to be priced in a way that would force their other machines to be reduced in price.<ref name=interview/>▼
▲In May 1969, IBM upper management instead decided to cancel the entire project
Shortly after the announcement of the project's cancellation, in August 1969, IBM announced the [[IBM System/360 Model 195]], a re-implementation of the Model 91 using [[integrated circuit]]s that made it twice as fast as the [[IBM System/360 Model 85|Model 85]], which at that time was the fastest machine in the lineup. To address the high-end market, a [[Vector processor|vector processing]] task force was started in Poughkeepsie.{{sfn|Smotherman|Sussenguth|Robelen|2016|p=68}}
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