And the divestitures have begun! I'm sure HCL isn't taking all the headcount though, just the products themselves.
https://www.reuters.com/article/us-ibm-divestiture-hcl-techno/ibm-to-sell-some-of-its-software-products-to-hcl-for-18-billion-idUSKBN1O52M1
(More complete product list in this article):
https://markets.businessinsider.com/news/stocks/hcl-to-acquire-select-ibm-software-products-for-1-8-bln-1027789043
Young people who join IBM have a steep learning curve. Not to learn new products, to learn ancient ones. IBM uses 10 and 20 year old tools and internal procedures. I think the Red Hat people won't last long.
I wonder how red hat people will react to
no tea - coffee
no pinball machines
no xbox etc
sh--ty office space
no cleaning of working space
dysfunctional office equipment
etc etc etc
Good for HCL... remains now to see which company will acquire IBM Services (GTS + GBS)... I am pretty confident that a deal will be announced before the end of the 1st half 2019 in order to raise the cash to finalize the Red Hat acquisition... It would be funny if Google, Amazon or some other players raise the ante and end up getting Red Hat... though IBM would make close to 1 Billion if Red Hat breaks up the deal.
I once heard a rumor that Notes and Verse were designed by people who hate humans.
The only thing worse than notes was Verse. I had to wonder if the product managers had ever used an email I'm system before.
Maybe we will start using G Suite instead. Because god forbid we ever join the rest of the corporate world and use Outlook/Lync.
Glad to hear services might be sold off. Its run way too top heavy by IBM and the managers are doing nothing but holding town halls every other month now. So pathetic.
Desperate indeed: Lotus was bought for $3.5 billion in 1995 which is $5.8 billion in today's dollars according to:
https://www.theregister.co.uk/2018/12/07/hcl_18bn_ibm_software/
It’s all over but the crying. IBM needs to raise approx 25 billion to pay for RedHat. They thought the street would receive the take over news far better than they did. NOW they have to raise cash, as the new debt will crush the stock price. According to the street look for IBM toexit HW and legacy (think GBS) Services. Approx 150k worth of heads will move to India and whoever buys HW.
Here’s another classic example how IBM historically mismanages software from the Companies they’ve acquired. HCL just purchased eight (8) IBM software solutions for $1.8 Billion. This price tag is slightly more than HALF of what IBM ORIGINALLY PAID … just for Lotus … back in 1995. Amazing! IBM never invested in Lotus to compete head-on with Microsoft Office. I guess the other IBM software was “tossed in” to sweeten the deal with HCL. So, if you believe in history repeating itself, what do you think will happen to Red Hat? I’m betting Red Hat will share a similar fate … unless sweeping changes happen in Armonk. If you're currently working at Red Hat understand resource limits will be imposed to improve the existing Red Hat software stack over time. By the way, Vegas odds are on my side.
IBM really must be desperate selling off Notes. Maybe they will finally switch to a real email system - something more advanced than 1993. Maybe they will just switch everything to Slack since that is the latest shiny buzzthing at IBM.