"Portfolio simplification" is the new byword in Systems. And yes, the portfolio is too complicated -- and it would be a good idea to converge some offerings into a single team that has "critical mass".
In reality this seems to be another cover story for axing entire teams. A9000 is gone, apparently.
1ubs. It’s pretty easy to answer. Ask yourself where does IBM make money. System Z definitely, Enterprise Power (absolutely). Scale out Power (not so much). Linux Power (nope). Open power (yes, BUT mainly from IP license deals). Storage follows the same path. Enterprise storage makes money, but it’s a limited market. As you move down the product line, there isn’t much money made. Tape actually makes money, but almost no one uses it like they used to. Flash definitely makes money and that is where the cloud has migrated to. Overall IBM makes money where they have a monopoly (System Z and Enterprise Power), or can license the IP (open power). IBM also makes money on their purchased niche (flash) where they have also invested via their labs. IBM loses money where there is competition (storage) or low volume (Power scale out, and Tape). So if you move 80% of your customers to the cloud (say 30-35 data centers around the world) how many reps, product specialists, and CE’s do you need to service 35 locations. Not very many. That same equation can be played out for each division (services/SWG, cognitive, and IGF). The new IBM will have far fewer folks in it
So I wonder what from the HW portfolio will be left, and who will be left to sell it. Power, disk, tape?
It’s all about Redhat and their go to market strategy. IBM has punted on their go to market strategy as it’s resulted in declining revenues, market share, and value delivered. YES Ginni you backed the wrong strategy and it has bit you badly. Much like valuejet buying AirTran and taking their name and strategy to move forward from the valuejet crash. HW in the grand scheme of RH will be seen as a cost of doing business (you have to host on something in addition to Intel if you are in the enterprise space). Cognitive will move forward with the current IBM strategy. Services (GTS / GBS) will be re-orged / rightsized. The new IBM will be leaner and meaner. Wave goodbye to BAU strategy from IBM as the brooms of re-org are out and sweeping.
What a complete gong show.
Where was a9000 developed. Is it a product of TMS , Texas Memory Systems in Houston we acquired a number of years ago.
Corrected link for those having problems figuring out what A9000 is:
http://bfy.tw/Nwsj
IBM FlashSystem® A9000 makes it easy to deploy cloud solutions, so you can gain more value from your data
For those who do not know how to type into the internet thingy:
https://www.google.com/search?q=ibm+a9000
It’s an IBM flash storage box
what is A9000 ?