It’s all written in the Bain's playbook from 2018, folks.
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I have to agree with UFE IBM took most of the legacy out of GTS and GBS and combined them into Newco. The numbers confirm that Newco = 19 billion and has 90k heads GTS minus TSS = 4.8 billion per quarter or approx 19 billion per year. IBM isn’t getting rid of cloud or AI out of GTS so the rest has to come out of GBS or cognitive ALSO note IBM is taking a 2.3 billion dollar 4th q charge Since IBM owns both ends of the transaction that usually means head count cuts My guess is Legacy GBS and cognitive are in the bullseye If you are consulting in the 1.9 billion per quarter GBS business, IBM wants to thin the herd and will ask you to leave via bench management. The real numbers seem to show 2.4 billion (non-cloud) out of GTS, 1-1.25billion (non-cloud) out of cognitive, and 1-1.25 billion (non-cloud) out of GBS from a recurring revenue point of view In addition 2.3 billion in restructuring which most likely means consulting is going to shrink. Yep it’s ugly, but had to be done Will IBM trim around the edges (pension sell off, Power/Storage sell off, GLobal financing sell off) There is a good shot that they will as those components don’t align with hybrid cloud, but we’ll see Selling any of those three makes IBM money, so it only feeds the bulldog Good luck to all as the heavy lifting is now apparent
From what I have "heard". The brain trust kept saying G-lobal S-ervices, not just GTS. GBS is technically Global Services, too. So, I think there are vast parts of GBS that will be split off to be part of this "NewCo".
Name the new Company "WATSON"
Or better yet, "IBM" and the old company "RED HAT"