The 109-year-old technology company, in order to focus on cloud computing IBM has announced that it is breaking off a USD 19 billion chunk of its business. The company is spinning off its managed infrastructure services unit into a new public company which is temporarily named as NewCo. The separation is expected to take effect by late 2021.
According to Arvind Krishna, CEO, IBM, the separation will help the company to focus on its cloud platform and artificial intelligence. On the other hand, the newly formed company will provide services to manage the infrastructure of businesses and other organizations.
IBM's annual revenue was $77.1 billion last year. Krishna said in April at his first quarterly earnings call as CEO that the company will continue to eliminate software and services that don't align with IBM's top two focus areas for growth: cloud computing and artificial intelligence.
See What’s Next in Tech With the Fast Forward Newsletter
Tweets From @varindiamag
Nothing to see here - yet
When they Tweet, their Tweets will show up here.
