In 1983, work was underway on a laptop similar to the Tandy Model 100, codenamed "Sweetpea", but it was rejected by Don Estridge for not being PC compatible.

Another attempt in 1984 produced the "P-14" prototype machine, but it failed to pass IBM's human factors tests, especially after poor public reception of the display in the competing Data General-One.

The system RAM in the Convertible is SRAM rather than DRAM, both for lower power consumption and less circuitry to fit into the cramped laptop case.

This feature allows the use of a full-size desktop monitor while at one's desk, an early forerunner of the "docking station" concept, and similar to Apple's PowerBook Duo.

The machine had difficulty in the marketplace and was seen as a poor value for money, since other laptops in the market had more built-in features, although it enjoyed some success with business users, who saw its battery life and portability as selling points.

[8] Even after the release of the Model 3 in October 1987, which fixed some of the machine's issues, lack of built-in features remained a pain point.