INTERNATIONAL BUSINESS MACHINES CORP (IBM)

International Business Machines Corporation (IBM) was incorporated in New York on June 16, 1911, as the Computing-Tabulating-Recording Co., a consolidation of three companies, and took its current name in 1924. The company helps clients use hybrid cloud and artificial intelligence (AI) to support digital transformation, reimagine critical workflows at scale, and modernize applications to gain agility, innovation and operational efficiency. Its offerings combine software, consulting services and mission-critical infrastructure, supported by a large research organization.

IBM reports four business segments. Software offers hybrid cloud and AI platforms that let clients carry out digital and AI transformations across their applications, data and environments. Consulting combines strategy, experience design, technology and operations expertise across industries, spanning business consulting, systems integration, application development and management, and business process outsourcing. Infrastructure provides on-premises and cloud-based server and storage solutions, with a focus on security, scalability and reliability for mission-critical and AI workloads, along with life-cycle services for hybrid cloud infrastructure deployment. Financing provides client and commercial financing that helps clients acquire IBM hardware, software and services.

IBM describes itself as a globally integrated enterprise serving clients worldwide, and its work spans many industries and business processes. It sells directly and through a broad go-to-market ecosystem of partners, including hyperscalers, service providers, global system integrators, and software and hardware vendors. Named strategic partners include Adobe, Amazon Web Services, Microsoft, Oracle, Palo Alto Networks, Salesforce, Samsung Electronics and SAP, some of which also compete with IBM in other areas. The company cites quantum computing as a future opportunity.

IBM faces hundreds of competitors worldwide, ranging from large multinationals to smaller niche firms, and it regularly meets new ones as it carries out its hybrid cloud and AI strategy. It competes on technology innovation, performance, price, quality, brand, breadth of offerings, talent, client trust and service. In Software, its principal competitors include Alphabet (Google), Amazon, BMC, Broadcom, Microsoft, Oracle, Salesforce, SAP and Splunk. In Consulting, they include Accenture, Capgemini, India-based service providers, management consulting firms and the consulting practices of public accounting firms. In Infrastructure, they include Dell Technologies, Hewlett-Packard Enterprise, Intel, NetApp, Pure Storage and original device manufacturers. In Financing, IBM mainly competes with non-captive financing entities and financial institutions. The company says it is the leader or among the leaders in each of its segments.