In The Midst Of An Epic Transformation, IBM Lands A Huge $500 Million Cloud-Computing Deal
April 16, 2014
Grazed from BusinessInsider. Author: Julie Bort.
IBM is in the middle of a huge transformation and will issue a progress report – its quarterly results – after the market closes on Wednesday. It will go into that call with analysts with a piece of good news: A new, $500 million cloud computing contract. That’s nice news compared to some of the challenges IBM has had in the past few months.
IBM sold one of its computer server businesses to Lenovo and said it is investigating other divestitures. It began shedding employees from its global workforce, too, as it did last year. IBM hasn’t said how many jobs it is cutting, but did say it plans to spend $1 billion on 2014’s cuts, "plus or minus $100 million," (the same as it spent in 2013), and confirmed that layoffs took place in the first quarter. One analyst estimated that IBM would shed "at least 13,000 heads" worldwide. At the end of 2012 it employed 434,246 people…
CEO Ginni Rometty stepped up IBM’s efforts in cloud computing. She vowed to spend over $3 billion to add more cloud services, including creating a cloud based on IBM’s natural speech supercomputer, Watson. All told, IBM has spent $7 billion since 2007 beefing up its cloud, it says…
Read more from the source @ http://www.businessinsider.in/In-The-Midst-Of-An-Epic-Transformation-IBM-Lands-A-Huge-500-Million-Cloud-Computing-Deal/articleshow/33833241.cms
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