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Report: IBM to peddle its chip wing

IBM is rumored to have retained Goldman Sachs to help it put a price on its semiconductor division. The news was reported by the Financial Times on Thursday afternoon, California time, and follows IBM's long-expected announcement of the sale of its server division to Asian electronics giant Lenovo. At the time of writing …
Jack Clark, 07 Feb 2014

IBM pumps $1.2bn into 15 new data centres

IBM plans to grow its data centre estate to 40 sites throughout the world, after it confirmed today that it was investing $1.5bn in the strategy. It means Big Blue will soon have 15 new data centres churning out SoftLayer cloud services, including its web hosting tech, across the globe. China, India and Japan are among the …
Team Register, 17 Jan 2014
Bruce Schneier

Bruce Schneier sneers at IBM's NSA denials

Ten days ago IBM issued ”A Letter to Our Clients About Government Access to Data” that, as we reported, swore on all that is good and holy that it did not hand over data to the NSA and would never do such a thing. But the letter did not satisfy security commentator Bruce Schneier who's penned an open letter of his own to Big …
Simon Sharwood, 25 Mar 2014
ProtecTIER

IBM handing pink slips to Israel-based Diligent devs - reports

Israeli media outlets are reporting that IBM is laying off product developers at its Diligent operation but leaving support staff roles untouched. According to Israeli biz news site Calcalist, Diligent, XIV, and Storwize – all three Israeli companies acquired by Big Blue – were housed by the firm in the R&D division of its …
Chris Mellor, 14 Feb 2014
Angry old man

IBM was wrong to force UK workers off final salary pensions – judge

A UK High Court judge has said that IBM breached its duties to Brit workers with a company pension by kicking a quarter of them off its final salary scheme in 2009. IBM's "Project Waltz" was implemented in 2009 to help the company meet its 2010 target for earnings per share (EPS) and cut costs. The scheme cut benefits to …

IBM: We gave NOTHING to the NSA, stateside or elsewhere

IBM has become the latest of the tech giants to deny handing over customer data to the NSA's PRISM program. In this open letter, Big Blue's general counsel Robert Weber (also senior veep for legal and regulatory affairs) gives the “no way” message to the world at large. Specifically, Weber writes that IBM did not provide “ …

IBM gobbles CIA-backed NoSQL database upstart Cloudant

IBM is creeping towards the cloud, picking up startups on the way, including a NoSQL database company to fill in some of the perceived shortcomings of DB2. The acquisition of Cloudant was announced on Monday and will give IBM control of a NoSQL "database-as-a-service" (DBaaS) [As a service? What the hell was a database …
Jack Clark, 24 Feb 2014
Zombie cloud

What's a right pain in the ASCII for IBM? Its own leech-like hardware biz

IBM's earnings for the first quarter of the year show that the company's hardware division has turned into a leech sapping Big Blue's profits. IBM's total revenues for the quarter were $22.5bn, down four per cent on an annual basis and earnings-per-share are $2.54. This represented the eight consecutive quarter of declining …
Jack Clark, 16 Apr 2014
IBM Selectric Golfball

IBM renews attempts to offload server biz: report

IBM is trying to offload its “low-end” server business, according to The Wall Street Journal. The Journal's report suggests Dell hasn't turned up its nose in disgust at the idea of buying Big Blue's server unit and that Lenovo could also be sniffing around. IBM's motivation for selling off low end servers is not clear, nor is …
Simon Sharwood, 20 Jan 2014

First Dell, now IBM: 15,000 jobs face the axe at Big Blue, says union

IBM is set to spend another $1bn on job cuts this year to eliminate an estimated 15,000 jobs worldwide, according to trade union Alliance@IBM. The company has already spent the same amount of money last year on 'workforce rebalancing', its euphemism for redundancies. Big Blue's chief financial officer for finance and enterprise …
Job cuts jpeg

IBM job cuts: Big Blue starts 'slaughter' of Indian and European workforce

IBM has begun slicing away at its workforce in India and Europe, as the company tries to shift its business to more lucrative, higher-margin technologies. The job cuts were confirmed by a representative for the IBM Union Alliance to The Register by email on Wednesday after a report was published describing a mass layoff in India …
Jack Clark, 12 Feb 2014

Oracle shoves IBM out of world's No 2 software seller spot – Gartner

Oracle sold more software than IBM last year for the first time ever, making Larry Ellison’s database giant second only to Microsoft, at least according to analyst Gartner. Oracle made $29.6bn during 2013, growing 3.4 per cent over the previous year and elevating it from world’s third largest to second-largest software vendor. …
Gavin Clarke, 01 Apr 2014
IBM CEO Ginni Rometty

IBM's top brass forgo bonuses after drop in yearly profits

IBM's top execs are forgoing their bonuses this year after a five per cent drop in sales and a per cent dip in net profit. Chief executive Ginni Rometty and other senior management will graciously eschew their presumably performance-related bonuses since the company's performance has not been all that great, particularly in its …
data centre

HP: Lenovo's buy of IBM x86 biz is bad, bad, bad...

The volume of noise from anxious biz customers and some channel types over Lenovo's buy of IBM's x86 server biz is deafening the ears of those gentle folk at HP. At least that is what Bill Veghte, global boss of HP's enterprise biz, told us, and given rivals' efforts to highlight HP's slips in recent years who can blame him for …
Paul Kunert, 11 Apr 2014
Engineers making quantum devices at the Australian National Fabrication Facility at UNSW: Credit: Australian National Fabrication Facility

IBM to shutter Greenock x86 line after sale to Lenovo - reports

Mystery still surrounds one of the UK's last server production outposts in the Silicon Glen amid reports of IBM shuttering the Greenock site when Lenovo acquires its x86 division. According to local newspaper Greenock Telegraph, workers at the plant are bracing themselves for closure with manufacturing set to move to China once …
Paul Kunert, 03 Mar 2014
Microsoft chair John Thompson

Microsoft chairman John Thompson: Redmond looks 'like IBM in 1990'

Microsoft's new chairman, ex-IBM vice president John Thompson, has said that he believes Microsoft's corporate culture needs to change if it is to remain competitive. "I would argue that there are some attributes to Microsoft today that do look vaguely like IBM circa 1990," Thompson said in an interview with Fortune published …
Neil McAllister, 28 Feb 2014

El Reg drills into IBM: The storage biz's got that sinking feeling

With the tremendous noise of chickens coming home to roost, IBM's first quarter storage revenues carried on crashing down with depressed revenues. We covered IBM's overall results here and pointed out that IBM's poor hardware product-based revenues were dragging the overall results down. Within that segment, storage results were …
Chris Mellor, 17 Apr 2014

Hey IBM – Lenovo here. Sort your server factory strike out, will you?

Chinese PC maker Lenovo has shrugged its shoulders at a strike in a server factory in China, saying that it's up to IBM to sort out the dispute before its server business transfers to Lenovo later this year. Yet Lenovo has said that it will keep the same salaries and benefits in place for Big Blue employees moving across. More …
tumbling dice

IBM bets the farm on big data in annual report

IBM is utterly focussed on big data and analytics as its future growth engines, according to its annual report published over the weekend. But the company has hedged a little on the future of its semiconductor and hardware businesses. Available here, the least-brochure-like bits are to be found in the A Letter from the Chairman …
Simon Sharwood, 10 Mar 2014
IBM_Compute_book

IBM plays with its Lego, hits upon System X server redesign brainwave

IBM's new range of System X servers are built like Lego, but rather than letting you build castles or spacecraft, Big Blue hopes they'll become the foundation of fat databases with tough input-output requirements. The sixth generation of the x86 servers were announced by IBM on Thursday and, as previously reported by El Reg, …
Jack Clark, 17 Jan 2014
Crystal ball via http://www.manoftaste.de/

IBM's bailed out of the server market - will they dump Storwize next?

January's not even ended yet and already we have an interesting technology market happening; IBM’s withdrawal from the x86 server market does lead to a number of questions. Not only the future of IBM is under the spotlight, but also what IBM execs feel the future of the market is. Could this be yet another sector they withdraw …
StorageBod, 29 Jan 2014

IBM makes cheeky SNATCH at AWS's cloud crown

IBM has launched an offensive in which it claims it is the world's foremost cloud company. Big Blue's claim hinges on a metric it has taken public, namely that it's cloud “powers 270,000 more websites than Amazon”. That message has appeared in ads placed in prominent financial newspapers and the like. One such journal, Forbes, …
Simon Sharwood, 07 Nov 2013

IBM warns Storwize arrays can DELETE ALL DATA

IBM has issued a warning to owners of its Storwize arrays, SAN Volume Controller and Flex System V7000, because all are at risk of having their contents erased. Big Blue’s warning about the problem is blunt: “Administrative access to the system via the IP interface may be obtained without authentication.” That’s bad news …
Simon Sharwood, 28 Oct 2013

IBM x86 sale will disrupt customers and the channel, shrieks Fujitsu

Channel partners and customers of IBM's x86 biz should brace themselves for a period of uncertainty and unpredictability as Lenovo prepares to wolf down the division, rival server maker Fujitsu is warning. The Chinese firm stumped up $2.3bn for the Intel-based volume server unit last month, although the deal is awaiting …
Paul Kunert, 10 Feb 2014

It was inevitable: Lenovo stumps up $2.3bn for IBM System x server biz

IBM has offloaded its failing x86 biz to Lenovo for $2.3bn, albeit a day later than our sources had predicted. The pair have entered into a definitive agreement - days after talks were confirmed - which includes System x, BladeCenter and Flex System blade servers and switches, x86-based Flex integrated systems, NeXtScale and …
Paul Kunert, 23 Jan 2014

IBM to offload System x this week: Our sources spill the beans

Smart bets are being placed on IBM offloading its System x division this week, amid suggestions that staffers are braced for a grandiose announcement on Wednesday. Word of buy talks reached the desk of El Chan late last week and over the weekend the Wall Street Journal speculated that Big Blue execs may have re-opened talks with …
Paul Kunert, 20 Jan 2014
cloud

IBM looks to soften the SoftLayer migration blow

OpenStack Summit IBM expanded its footprint in the big data space with the launch of a new SmartCloud analytics tool this week, whilst urging customers on SmartCloud Enterprise to step up their migration efforts off the platform. SmartCloud Analytics – Predictive Insights, to give it its rather long-winded title, is designed let …
Phil Muncaster, 06 Nov 2013

IBM likes the channel, puts a ring on it

IBM is getting more touchy with resellers by tackling channel conflict in its hardware biz following a massive slide in server sales during recent quarters. The move is being made exclusively in the System & Technology Group (STG) where IBM sales reps will now only be paid incentives for deals closed alongside resellers, not …
Paul Kunert, 27 Aug 2013

Lenovo haggling with IBM over price of System X... AGAIN

High-flying PC maker Lenovo has confirmed it has re-taken a seat at the negotiating table with an unnamed server vendor, widely believed to be IBM. That Big Blue is committed to offloading its System X unit - the x86 division that was the subject of sale talks with Lenovo last year - would come as no surprise to anyone involved …
Paul Kunert, 21 Jan 2014

IBM offloads customer services biz for half a BEELLION DOLLARS

IBM is planning to outsource its Business Process Outsourcing customer services after last night confirming plans to offload the unit to US tech distie and BPO player Synnex for $505m. Under the terms of the deal, Synnex will cough $430m in cash and $75m in stock to take on 45,000 soon-to-be-ex IBMers operating across a network …
Paul Kunert, 11 Sep 2013
closed_sign shut down under collapsed liquidation

IBM to shutter SmartCloud, move customers to SoftLayer

IBM will close its SmartCloud Enterprise service and force customers to migrate to its recently-acquired SoftLayer cloud. News of the migration leaked today when Gartner veep Lydia Leong emitted the following Tweet: IBM has formally notified SmartCloud Enterprise customers of Jan 31st end-of-life. (I'll be blogging on this …
Simon Sharwood, 31 Oct 2013
Frodo and the Ring

IBM trudges onward despite hardware weight around its neck

IBM reported fourth-quarter earnings that were a mixed bag on Tuesday, with hardware remaining the chief thorn in Big Blue's side – as has been the case throughout its fiscal 2013. Total revenues shrank for both the quarter and the year, with Q4 sales down 5.5 per cent to $27.7bn and annual sales down 4.6 per cent to $99.8bn. …
Neil McAllister, 22 Jan 2014
channel_teaser_exit

Big Blue storage supremo Andy Monshaw quits IBM

Andy Monshaw, general manager of IBM's storage business from 2005 to 2008 and most recently general manager of the company's PureFlex integrated systems, has left the building. A well-placed source whispered the news to The Register that Monshaw's departed IBM within the last fortnight. Monshaw's LinkedIn profile also reflects …
Chris Mellor, 04 Jul 2013
Funnel of cash. Credit: via SXC – http://www.sxc.hu/profile/Leonardini

IBM proffers $1bn for Linux development on Power

After opening up its Power chips to bit fiddlers through an ARM-style licensee model, IBM is pouring $1bn into Linux development on the architecture. The $1bn commitment to Linux on Power was announced by IBM on Tuesday at the Linux conference in New Orleans, and follows Big Blue letting licensees fiddle with Power chips through …
Jack Clark, 17 Sep 2013

Lenovo chops up biz groups after gobbling IBM x86 servers

Enterprise tech wannabe Lenovo has carved its business into four divisions just a week after it coughed $2.3bn for IBM's x86 server biz, a deal which is awaiting approval from regulators. The Chinese firm created PC, Mobile, and Enterprise Groups as well as the slightly bizarrely named Ecosystem and Cloud Services unit, it …
Paul Kunert, 29 Jan 2014
Myer's website crash notice

IBM spends holiday season wrangling e-tail FAIL

Australia's largest department store's website crashed for the week of post-Christmas sales, leaving IBM and possibly Oracle scrambling to fix the mess. The department store chain that suffered the outage is Myer, Australia's analog for the UK's John Lewis or North America's Macy's inasmuch as it is positioned beneath more …
Simon Sharwood, 02 Jan 2014

IBM snaps up banking security biz Trusteer, won't say what it paid

IBM has announced a deal to acquire transaction security firm Trusteer and open a new cybersecurity lab in Israel. Financial terms of the buyout, announced Thursday, were not disclosed. Big Blue said the deal would allow it to offer improved cloud-delivered software and services to defend against advanced security threats to its …
John Leyden, 15 Aug 2013

NO WONDER Big Blue dropped it: IBM server biz BOMBED in Q4

There's little wonder that IBM execs were so quick to snap up Lenovo's $2.3bn offer for the sickly volume server biz. Factory revenues and shipments apparently crashed during Big Blue's last full quarter behind the wheel. Ending a thoroughly unpleasant 2013 for Big Blue server peeps, Gartner calendar Q4 numbers show revenues …
Paul Kunert, 26 Feb 2014

Why IBM's server sell-off is a lightbulb moment

We’re not even out of January yet and already the UK's tech channel has possibly seen its biggest story of 2014 after IBM sold its low-end server business to Lenovo. The two companies have history, of course, with IBM offloading its profitable-but-not-for-long PC business to the Chinese firm back in 2005. Lenovo did rather well …
management management4

Former BT and IBM GS president rocks up at Logicalis

Logicalis Group has brought in former Logica and BT exec Gary Bullard as CEO to replace outgoing boss Ian Cooke, who is set to retire from the role and become the firm's non-exec chairman. The network integrator will usher in the new big cheese from next month as "CEO designate" but Cooke does not leave until 1 March. The head …
Paul Kunert, 14 Nov 2013

China, an untapped land of opportunity for the West - EXCEPT IBM

IBM's third-quarter earnings for 2013 missed estimates by a billion dollars, thanks to an ugly environment in China and continuing weakness in the company's hardware division. The technology giant reported a net income of $4bn from revenues of $23.7bn on Wednesday, representing a rise in profits by 5.7 percent on the same …
Jack Clark, 16 Oct 2013

IBM furloughs hardware workers for a week to cut costs

New IBM System and Technology Group chief Tom Rosamilia and his boss, CEO Ginni Rometty, are tightening the belts of Big Blue's hardware business so that it can make its numbers in the current or future quarter. Rumors were going around that IBM was going to put employees working in the Systems and Technology Group on furlough …
channel_teaser_exit

IBM axes nearly THREE THOUSAND staffers in North America - union

IBM has axed nearly three thousand workers in Canada and the US, according to employee union Alliance@IBM, as its cost-cutting drive begins to bite. Big Blue has been laying off swathes of staff worldwide in the last few years as it attempts to drastically reduce its outgoings, periodically announcing "workforce rebalancing", " …
Our hire car beside the Stuart Highway

IBM and SAP: Looks like we're STUCK forever on the cloud highway

Earnings from SAP and IBM – two giants in enterprise IT - proved that both companies are struggling to cope with the move to the cloud and show that success in hosted computing is receding for them. While it's true that the big growth for SAP was in its cloud-related business – up 66 per cent for the fourth quarter and 158 per …
Gavin Clarke, 24 Jan 2014
IBM logo

IBM Euro channel bigwig made Tech Data account daddy

A senior management reshuffle at IBM has seen European channel partner boss David Cornick take up a newly created global role within Big Blue as managing executive for distributor Tech Data. As a result, David Kay, formerly sales veep at IBM UK and was effectively second in command for the operation, has replaced Cornick as the …
Paul Kunert, 09 Jan 2013
ThinkGeek's canned unicorn meat

IBM: Closed clouds are dead meat

After adopting OpenStack and embracing the Cloud Foundry platform-as-a-service, IBM has become convinced that clouds are destined to be made of open source software. In a speech at the PlatformCF conference in Santa Clara, California, on Monday, IBM's veep of software standards and cloud labs Angel Diaz said vendors that "take a …
Jack Clark, 10 Sep 2013
IBM logo

IBM's $1bn layoffs latest: Now axe swings in US, Canada - reports

Scores of workers have been made redundant at IBM's Systems and Technology Group in the US, according to a union, soon after the tech titan warned of sweeping job cuts worldwide. Following a $400m shortfall in mainframe and software sales in the first quarter of 2013, employees were warned that a "workforce rebalancing" act (a …

Don't go away, IBM and SAP – Larry's not finished with you yet

SAP and IBM? Pah! Says Larry Ellison. Amazon and Salesforce – them’s my competition these days. Only the truth is a little more nuanced. Yes, there is competitive pressure from the cloud entrants but the more Ellison tries to re-invent Oracle, the more he’s going to have to scrap with his rivals IBM and SAP to haul past the new …
Gavin Clarke, 31 Jan 2014
IBM open reel tape and 3480 cartridge compared

Lenovo and IBM's System x biz: It'll be just like 2005's PC buyout

It was only eight months ago when the industry was rife with rumours that IBM was selling all or part of their x86 business to Lenovo. It took a while, but the deal has gone down and it’s now up to the lawyers and accountants to finalize the paperwork. This deal has turned out to be (way) more comprehensive than anticipated. …
Zombie cloud

Reselling mutant cloud parts from IBM? There's now an app for that

IBM is pitching new software and server gear for use in public, private and public-private hybrid cloud computing environments. The tech titan has announced PureSystem updates plus stuff about Power, System x and technical computing. Big Blue thinks mutant clouds will pick up in popularity; it quotes Gartner as saying that " …
Chris Mellor, 14 Oct 2013

Opinion

Chris Mellor

How long before Blue Big HQ pulls the plug on the whole thing?

Chris Mellor

Drives nails forged with Red Hat iron into VCE's coffin
Sleep Cycle iOS app screenshot

Trevor Pott

Forget big-spending globo biz: it's about the consumer... and he's desperate for a nap

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