business · 2 outlets · 2 linked reports
IBM Mainframe Revenue Drops 42 Percent as Customers Shift Budgets
AI-assisted: summaries and questions may be incomplete or incorrect. Verify important details with the linked original reporting.
Summary
- IBM reported $17.2 billion in quarterly revenue and $2.2 billion in net income.
- The company’s mainframe revenue fell 42 percent during the quarter.
- IBM said some customers redirected budgets toward servers, storage and memory after large price increases.
- Executives said delayed mainframe purchases were beginning to return in the following quarter.
The question
Was IBM right to frame its mainframe slump as a temporary budget shift?
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