ARMONK, N.Y., Nov. 30, 2020 /PRNewswire/ -- IBM (NYSE: IBM) today announced a series of cloud services and technologies designed to help clients maintain the highest available level of cryptographic key encryption protection to help protect existing data in the cloud 1 and prepare for future threats that could evolve with advances in quantum computing. Nokia, Samsung, Cisco and 35 more partners commit to join IBM’s ecosystem and help accelerate 5G and edge innovation for customers “IBM must grow our leadership in the $1 trillion Hybrid Cloud platform opportunity as well as grow our leadership in bringing the benefits and power of AI to our clients. Security and Scalability Become Key Selling Points for Cloud Banking. The Weather Company migrates to a secure, scalable global architecture in the IBM Cloud (02:46) With millions of people relying on The Weather Company for insights, especially during major weather events like hurricanes, they must meet extreme data and compute scalability challenges. Scale. A remarkable $0.8 billion, 42% of the total hardware business, was classified as cloud revenue. IBM says it is breaking off a $19 billion chunk of its business to focus on cloud computing. Apply to resell IBM products and services or contact your IBM distributor 2. But what particularly chafes is the implication they have a material cloud business to double down on. It is hard not to conclude that IBM’s “cloud” numbers are somewhere between optimistically delusional, intentionally deceptive, and outright hallucinogenic. If this dinosaur is getting over a third of its revenue from the cloud, why are we not hailing this company as a turnaround for the ages and inducting current management into the business hall of fame? Innovating with Enterprise Servers: A Case Study in Digital Transformation. PacGenesis sells and integrates IBM Aspera, a cloud-based solution that’s the fastest high-speed file transfer tool on the market. Enter your email address to subscribe to this blog and receive notifications of new posts by email. Add in the hardware segment, and we get to almost three-quarters of IBM’s “cloud” business is in the last places we’d expect to find real cloud businesses. The benefits of using Comcast Business to connect privately to the IBM Cloud include: The ability to move data to and from your on-premises data center across 1 Gbps or 10 Gbps network connections IBM as well as its clients around the world is adopting cloud computing in recognition of its potential to usher in a new era of responsiveness, effectiveness and efficiency in IT service delivery. Once again, I have been triggered by IBM claims to be a leader in cloud computing. Business. Global Technology Services (GTS) – this segment has two businesses. International Business Machines Corp. (IBM) sells a wide range of products, including information technology (IT) services, cloud and cognitive offerings, and … IBM says it is jettisoning its single biggest business – Managed Infrastructure Services – to “accelerate its hybrid cloud growth strategy”. [dir="rtl"] .ibm-icon-v19-arrow-right-blue { I'll explain why you shouldn’t quickly rule out mission critical. IBM® Business Process Manager on Cloud provides a full lifecycle business process management (BPM) environment including development, test, and production—with tooling and run time for process design, execution, monitoring, and optimization. This divestiture is more financial engineering from the incredible shrinking IBM, but dressed up as a bold cloud computing move (even if they’re just emulating a maneuver HPE made years ago). IBM Cloud Delivers Quantum-Safe Cryptography and Hyper Protect Crypto Services to Help Protect Data in the Hybrid Era. 1 min read. IBM is set to undergo major structural change as it looks to refocus its business in the years ahead. Get FREE credits now What you can do Build with up to $120,000 in Cloud credits With IBM’s scalable solutions, you can revolutionize your […] Systems – this is the hardware ($1.5 billion; 13% growth on the back of 68% mainframe growth) and operating system business ($0.4 billion; -13% growth). IBM has forecast full-year profit above market expectations after reporting surprise growth in quarterly revenue, boosted by its high-margin cloud computing business, sending its … If you are not a member already, join IBM PartnerWorld 3. Become an IBM Cloud Reseller. Post was not sent - check your email addresses! IBM is splitting its IT services business off into a new company. In a double Old Fashioned glass, muddle the sugar and lime. CEO Arvind Krishna says this will allow its cloud and AI business to expand. Microsoft’s Commercial Cloud business all-up (IaaS + PaaS + SaaS) was $14.3 billion. • Platform guy, consultative strategerist, investor, rocker of boats, dinosaur scourge, CAPEX obsessive For $34 billion, it bought out software company Red Hat RHT. Cloud and Cognitive Software – this segment includes Cloud and Data Platforms ($2.8 billion; 30% growth in Q2 but that reflects the addition of Red Hat as opposed to sustained double-digit growth), Cognitive Apps ($1.2 billion; -8% growth, alas Watson), and Transaction Processing ($1.7 billion; -14% growth). Read our latest cloud case study about Turkcell. Turkcell Uses IBM Automation Technology to Review Millions of Documents. Garnish: lime wheel. Business strategies are constantly changing to meet new business requirements, and enterprises worldwide are looking to adapt to meet evolving customer needs. I just request they put “cloud” in quotes. While the term cloud may seem abstract, the benefits of cloud computing to customers are very real and tangible. Build. But the biggest question is where is IBM Cloud? Sorry, your blog cannot share posts by email. As IBM shifts to hybrid cloud, reports have them laying off 10,000 in EU Ron Miller 3 days As IBM makes a broad shift in strategy, Bloomberg reported this … The other business is Technology Support Services ($1.5 billion, -6% growth), which IBM seems to be keeping. The new capabilities will help partners and customers better protect existing data and prepare for future threats, according to a statement from the company. While the real cloud companies saw their stocks soar, IBM underperformed the market overall and badly underperformed technology stocks. This segment supposedly was $2.4 billion in “cloud” revenue in Q2 but NewCo appears to have no cloud revenue. IBM today announced it is offering new cloud services and quantum-safe cryptography support for key management and application transactions in IBM Cloud. IBM Cloud® offers the most open and secure public cloud for business with a next-generation hybrid cloud platform, advanced data and AI capabilities, and deep enterprise expertise across 20 industries } Lygon Modernizes the Bank Guarantee Process with IBM Blockchain Technology. IBM cloud computing is a set of cloud computing services for business offered by the information technology company IBM. Now IBM is going all in on the cloud Last July, IBM struck one of the biggest deals in U.S. tech history. The 109-year-old tech company said Thursday it is spinning off its managed infrastructure services unit into a new public company, temporarily named NewCo. When we look at the company that puts them in, it is a pretty impressive number. } Read our latest cloud case study about CCEP. 2 ounces cachaça In the IaaS space, AWS did $10.8 billion in Q2, while Azure and GCP did over $6 billion and $2 billion, respectively. Cloud Security and Scalability Become Key Selling Points for Cloud Banking. The best definition seems to be “things that are growing this quarter” are “cloud” (or sometimes “strategic imperatives”), as they desperately try to highlight whatever green shoots they can find across the desert wasteland of their withering business. The new, unnamed IBM Cloud company will include IBM’s basic technology services business that maintains, supports, and upgrades computing operations for enterprise customers. This is so boring that I will leave a nice Caipinha recipe for the few that will read this. transform: scalex(-1); Here are IBM’s Q2 2020 results, including the portion of each of their four business segments they  attribute as “cloud” revenue: IBM tells us they did $6.3 billion in “cloud” revenue in Q2. Cloud computing is the delivery of on-demand computing resources, everything from applications to data centers, over the internet. The legacy services business will become an as-yet-unnamed public company, starting with around $19 billion in revenue, which will deal with enterprise-owned IT. So whatever else is going on, IBM’s “cloud” business should shrink by up to 38% when they split up the company (and I’ll wager they’ll have moved onto a new financial reporting shell game by the time the divestiture closes). I’d ask for more disclosure to prove me wrong, but I’m sure that will only accelerate the day when they through all the cards up into the air again and provide yet another set of reporting segments. IBM President Jim Whitehurst on cloud computing competition and 'quantum safe' encryption IBM President Jim Whitehurst joins CNBC's "Squawk Alley" to … IBM Cloud and SAP: Working Together to Solve Enterprise Business Challenges. Read our latest cloud case study about Circeo. Learn more about business continuity services Ingredients • Furthest South: 67⁰ 43’ 05s Defend your business, maintain availability and recover quickly in the event of disruption. Cloud IBM Cloud and SAP: Working Together to Solve Enterprise Business Challenges . Read our latest cloud case study about Circeo. Design, build and run automation applications and services on any cloud, using pre-integrated automation technologies in a … What type of initial workload should you focus on when adopting new technology? The larger was recently called Infrastructure and Cloud Services ($4.8 billion, -5% growth) but now has been renamed Managed Infrastructure Services as it gets spun out. Cloud City Virtual Meetup: Bob Muglia and the Modern Data Stack (December 9), Press Releases We’d Like to See: Daryl Morey, Trey Parker and Matt Stone Awarded the 2020 Nobel Peace Prize. Digital transformation has been brewing for decades in the business world. Opening the Gateway to Financial Services Innovation. That simple fact, plus probably disconcerting forward visibility, likely precipitated the belated decision to cast out IBM’s single biggest business as they finally realize the ship is sinking. Read our latest cloud case study about Lygon: Bank guarantees: jumping from paper to blockchain. • Formerly Microsoft, Mozy, Pi and VMware It is, ah, “fascinating” that over 60% of IBM’s claimed “cloud” business ($3.8 billion) comes from their consulting segments, not the product segments. IBM delivers business continuity and disaster recovery services that can support your business across environments — public cloud, private cloud and on-premises, traditional data center environments. November 30, 2020, 8:05 AM EST 1. I have always assumed it was under GTS, specifically in that “Infrastructure and Cloud Services” business. Their (unaudited) “cloud” numbers imply IBM must have some very big cloud services. IBM Cloud Pak for Automation. And to keep this short(er), I won’t even get into the question of how do you create a successful hybrid cloud business when you’re nowhere in the public cloud business. Staggeringly, $6.3 billion of “cloud” is 35% of IBM’s total revenue. The various types of cloud computing deployment models include public cloud, private cloud, hybrid cloud, and multicloud. But, you may say, Q2 was the first full quarter of the pandemic and perhaps those numbers don’t accurately reflect IBM’s longer term situation? Build a scalable infrastructure on IBM Cloud Comcast Business can provide a direct connection to certain data centers, including IBM Cloud. TL;DR: IBM’s “cloud” should always have quotation marks around it. Is there a mainframe cloud somewhere we missed? They probably put OpenShift PaaS services here but they’re infinitesimal (thought I’m sure IBM would tell us the fact they are cutting prices is a sign of immense customer demand and that the open hybrid cloud word salad diet is all the rage). I explore that in some detail here. icons, By: The company’s legacy Managed Infrastructure Services business will … Maybe there is some SaaS in Global Process Services but even if that is entirely SaaS, we still need to find $1.2 billion in cloud revenue across consulting or applications management to get to the claimed $1.4 billion. I’d quote Gartner’s estimate of IBM Cloud’s revenue, but they downgraded IBM in 2019 into the Other bucket and don’t estimate its standalone revenue any more. The brutal answer is IBM Cloud is so small it doesn’t move the dial for any of these numbers. Dubious…. What kind of a cloud company doesn’t think of cloud services as products? Download the IBM Cloud logotype (IMG, 98 KB) 5. And, as part of that announcement, IBM preannounced their Q3 earnings and confirmed yet another revenue decline. Most would consider cloud computing to be the delivery of computing services over the Internet, whether IaaS, PaaS, or SaaS. Global Business Services (GBS) – this segment includes Consulting ($1.9 billion; -3% growth), Global Process Services ($0.2 billion; -12% growth), and Application Management ($1.7 billion; -8% growth). NewCo is emphatically the non-cloud, legacy business. There are high margin software assets in this segment, but next to none of this is cloud services. IBM has been caught before playing games with what they count as “cloud” and what isn’t. Digital transformation has been brewing for decades in the business world. … Coca-Cola European Partners Accelerates its Strategic Transformation. Introducing IBM Cloud for Telecommunications with 35+ Partners Committed to Join IBM’s Ecosystem and Help Drive Business Transformation. VACAVA Solves Family Visit Scheduling for Nursing Homes During COVID-19. IBM claims $1.6 billion of this — over a quarter of their entire software business — is “cloud”. Win. How VACAVA turned problems into opportunities. .cls-1 { Managed Infrastructure Services are the core of the IT outsourcing business IBM has built up over the last 25 years (and until today, one IBM proudly if misleadingly called “Infrastructure and Cloud Services”). Steps Lets go through their segments and try to figure out where IBM keeps its “cloud”. But IBM believes its future lies in the hybrid cloud -- … Perhaps we are wrong to think of IBM as a legacy mainframe company surrounded by low margin consulting that has missed every technology wave of the 21st century? IBM trumpets revenue and growth numbers for its “cloud” business every quarter. I think IBM’s dismal longer term trend is pretty clear (to link to that post for a third time), but nothing shows that IBM isn’t a cloud company more than the performance of their stock during the pandemic. Seven benefits of cloud from an enterprise architecture standpoint: The other major benefit of storage software is that it can access and analyze any kind of data wherever it lives, no matter the hardware, pla… • Seattle area startup angel investor, advisor, mentor and board director • More about. Complete Cloud Competency to unlock additional benefits 4. This IT business represents sales of about $19 billion per year. Responsiv Solutions and IBM co-design an Open Banking solution in the cloud. Stefan Groschupf, Adopting New Technology: Go for Mission Critical Workloads. 2 tsp sugar (perhaps we’ve found the root cause for their malaise?) International Business Machines Corporation IBM recently announced the acquisition of Instana to boost management of applications’ performance across hybrid cloud … fill:none; With $120,000 in free IBM Cloud credits, Startup with IBM can put your business on the path to transformative growth. Red Hat Marketplace, By: There are high margin software assets in this segment, but next to none of this is cloud services. But it will be fun to see them double down on their cloud-washing business. Startup with IBM. The job cuts are believed to be a precursor to plans that would see IBM spin off its IT services business by the end of 2021 to concentrate on artificial intelligence and hybrid cloud … Before becoming CEO in April, Krishna was heading IBM’s cloud business and was the key architect behind its $34 billion acquisition of cloud company Red Hat last year. As a part of accelerating its hybrid cloud vision, IBM recently announced the split of its business into two separate units. Stay connected The question is whether IBM’s “cloud” is actually cloud in the sense of what the rest of the industry calls cloud, or a manic, multi-billion dollar case of cloud-washing? IBM's managed infrastructure services business represented nearly a quarter of IBM's revenue last year. When IBM talks about “cloud”, they’re just not talking about what the rest of the industry is talking about. Combined with this, COVID-19 has had a significant and immediate impact on our business in the UK environment and further impacted results. 1 lime, cut into wedges Support - Download fixes, updates & drivers. Fill with ice, add the cachaça, and stir briefly. • Managing Director of Platformonomics, LLC, a strategy consulting practice IBM claims $1.6 billion of this — over a quarter of their entire software business — is “cloud”. Integrate across any on-premises or Kubernetes cloud environment to power your digital transformation with flexibility, security and scale. Those new segments no doubt will have cloud in the name. Disrupt your industry with IBM. This is their public cloud offering that ostensibly competes with the likes of AWS, Azure and GCP, and which they go to great lengths to blur with all the other “non-cloud” things they sell to achieve some semblance of a cloudy patina. The 109-year-old tech giant said that it plans to … Not only is this is the hardest (yuk yuk) to believe, it is also the segment with the most of its revenue claimed as “cloud”. 22 October 2020 By: Leah Valentine. In the world of SaaS, Salesforce did $5.15 billion in their Q2.
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