The comments were made at Xeroxs annual shareholder meeting last week, where she said that the firms four-pronged strategy included aggressive competition into digital black-and-white and colour markets.

Xerox aims to carve out a new 9bn ($17bn) market by yoking digital technology to offset printing with kit for print-on-demand and personalised communications.

Xerox wanted to lead the burgeoning document services market by helping to cut document costs and streamline processes.

A steady drumbeat of customers is turning to Xerox to help manage documents, said. Mulcahy.

Xerox earned 525m on a revenue of 8bn in 2005. It spends around 6% of revenues on engineering research and development, and last year boasted 49 digital kit launches. During the year it also won document management contracts worth 28m.