Thread regarding IBM layoffs

4ned+170qf31h

Whitehurst will never be CEO of IBM...

He will leave within 2 years to be CEO somewhere else.

Whitehurst is "advertising himself for his next job"...the CEO of IBM. Duh?

• just keep sending me pension every month!!!

That they've been doing for me for the last 22 years! Long live Big Blew!

I don't care , just keep sending me pension every month !!!

This article pretty much nets out IBM’s strategy YEP it’s exploiting what they do best and bets the farm on Redhat. EXPLOIT the mainframe. You have to remember there is 60 years of business logic buried deep into that legacy code (Two generations worth of coding efforts) THAT IS WORTH something close to a trillion dollars That’s where the value remains in enterprise accounts. P–poo it all you want but IBM has placed their bet and continues down that path Google wishes they had that advantage, but they are at a competitive disadvantage when it comes to Enterprise, and they know it. WHY? Because of the mainframe and it’s legacy code stack. No public cloud company is even close to exploiting the mainframe. Can you find an example of some company getting off Of course, but most haven’t While they explore how to take advantage of Redhat. If IBM streamlines themselves enough, one of the newer cloud providers will get out their checkbook, because if you win the mainframe stack, you win everything else too.
https://www.fool.com/investing/2020/09/20/things-ibm-wants-you-know-about-cloud-strategy/

Firing 70% of the management won't help at all. Even by the remotest possibility of getting a CEO with vision, then what? With no advanced technology in possession ( sorry, blockchain is not one), they have to compete with big boys with deeper war chests. With a $100B market value (minus $30B of debt), how can they compete with companies with $1T of market value? If they could build any technology with a remote potential of competing with big players (MSFT + FAANG), one of them would swoop in and hire away the core team by simply doubling their salary. There was a small window of opportunity circa 2012, when the landscape of cloud computing was being defined. But the former CEO was busy whipping up the whole company on the 2015 death march. Now their only hope is the big players will leave them alone so that they can leverage their mainframe monopoly to bully smaller fish. No matter what, the sr management will still rake in millions...

Upper management has absolutely destroyed IBM. They have no vision. Arvind would need to fire at least 70% of them to change the company around but you know that will never happen.

Broken record. IBM has been in decline for over a decade. So sad for what was a great company. Shame on Ginni, Aravind, the BoD and the Sr execs.

Everyone knows what has to be done. Sell off the non-growing legacy units and make big capital investments in the areas that represent the future of the business. But this requires slashing the dividend and trimming near term EPS. So it will never happen. IBM will just keep getting smaller and smaller every quarter as it fades into obscurity.

The argument itself seems weird. Looking at revenue during the pandemic (the C&CS revenue is warranted there for a comparison but services needs to compare with Accenture et al not with Amazon et al). And the argument that it's not doing good because it's not consumer facing is silly if you're trying to compare it with cloud IaaS. I mean make the argument that we're not getting growth results from hybrid cloud strategy yet to offset shrinkage in services, sure, but the arguments laid out don't seem convincing.

Wall Street is begging IBM to restructure AK it’s the elephant in the room Get it over with Yes you will be a smaller company revenue wise, but you will be far more profitable and thus be able to invest in the business again. Quit focusing inward, and start focusing outward

Yes, there is absolutely no doubt that IBM is and has been in trouble for a while now.... bad management with no vision for the company other than lining up their pockets with outrageous compensation at the expense of its employees.

The new team in place is no better. Their strategy of OpenShift and CloudPaks is too ambitious and will probably fail. You see a guy like Jim Whitehurst already making video blogs on LinkedIn every other week like he is already advertising himself for his next job!!

So sad...

Its worth noting that this editorial is written by the FOUNDER of 247wallst.com. Not just some blogger somewhere.

"Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States."