As per reports, International Business Machines Corporation (IBM) is essentially splitting itself into two public companies, diversifying its legacy business and focusing on high-margin cloud computing. The company is planing to list its IT infrastructure services unit, technical support for data centers as a separate company under a new name by the end of 2021.
IBM has recently shifted focus to cloud growth and making up for declining software sales and seasonal demand for its mainframe servers. The company expects to incur nearly $2.5 billion in expenses related to the unit spin-off.
“We divested networking back in the ’90s, we divested PCs back in the 2000s, we divested semiconductors about five years ago because all of them didn’t necessarily play into the integrated value proposition,” stated Chief Executive Officer Arvind Krishna on a call with analysts.
Dow 30 component International Business Machines Corporation (IBM) provides information technology (IT) products and services worldwide. To learn more about International Business Machines Corp (IBM) and to track its ongoing progress please visit the Vista Partners IBM Coverage Page.
Vista Partners LLC (”Vista”) is a California Registered Investment Advisor based in San Francisco. Vista delivers timely and relevant insights via the website: www.vistapglobal.com with daily stories, weekly market updates, monthly macroeconomic newsletters, podcasts, & Vista’s proprietary equity and market research to help you stay informed and stay competitive. Vista’s mission is to invest partner capital while arming investors with a comprehensive global financial perspective across all market sectors. Vista also seeks to provide select issuers with actionable advice regarding fundamental development, corporate governance, and capital market directives.
Stay Informed! Stay Competitive! Please join us at Vista Partners and receive our FREE email updates throughout the week and view our exclusive content and research.