Introduction
International Business Machines Corporation (IBM), founded in 1911 and headquartered in Armonk, New York, is a global technology leader in hybrid cloud, AI, and consulting. Led by CEO Arvind Krishna since 2020, IBM generated USD 62.8 billion in revenue in 2024 and posted a net income of USD 6.0 billion. With a workforce of approximately 270,300 employees and USD 14.8 billion in year-end liquidity, the company continues its strategic transformation through high R&D investment, major acquisitions such as Red Hat and HashiCorp, and a focus on expanding profit margins amid evolving industry demands.
History & Milestone
Originated as CTR in 1911 and became IBM in 1924.
Recent pivot led by Krishna has transformed IBM into an AI and hybrid-cloud powerhouse, with its GenAI business now exceeding USD 6 billion.
Product & Services
Hybrid Cloud & AI: Built on IBM Cloud and Red Hat’s open platform.
Consulting & Infrastructure: Q2 2025 revenue displayed strength in consulting (USD 5.3B) and infrastructure (USD 4.1B), with AI and Red Hat hybrid cloud up 16%.
Business Model & Strategy
IBM’s hybrid model delivers enterprise software subscriptions, consulting, and AI-driven services. Arvind Krishna prioritizes strategic transformation through cloud, AI, and quantum, reinforcing customer-aligned innovation.
Market Presence & Financials
IBM remains a top enterprise tech company, generating robust cash flow and maintaining solid financial footing amid AI transformation. Its diversified services across regions and sectors continue yielding value.
Leadership & Culture
Krishna—IBM’s first engineering CEO—has reshaped IBM with agile, innovation-focused leadership. The AI-first mindset and a platform-centric approach emphasize client co-creation and strategic simplification.
Controversies & Challenges
While catching up on AI and cloud, IBM continues facing internal restructuring risks—including workforce reductions and pressure to deliver growth from legacy business lines. Some investor concerns surfaced around software segment performance.
Future Outlook
IBM forecasts continued revenue growth (at least 5% in constant currency) and free cash flow exceeding USD 13.5 billion. Focus areas include hybrid cloud, AI scaling (USD 7.5B AI backlog), and quantum computing innovations.