IBM is changing - BDSwiss
IBM stocks is considered a dinosaur, as they are an ancient tech company. Previously, IBM was the leader in virtually every branch of technology. However, for a long time now the once great tech company seems to have lost touch.
IBM: Giants with problems
International Business Machines or IBM is one of the largest companies in the world. Nevertheless, the technology giant’s importance seems to fade increasingly in recent times. Their integrative business model as a complete provider for everything from hardware to software to services seems to be very difficult to transfer into the changing business environment. For this reason the revolution in cloud technology was not led by IBM, but by competitors such as Amazon and Salesforce.
However, over the past few years, IBM has radically changed the business model so as not to be made obsolete. Many divisions were sold and resources focused on growth areas. Billions of dollars were invested in the field of cloud technology. And this seems to have paid off. Last year alone, this division grew by about 66 percent. IBM has also returned to its original size in other areas. The company is, for example, a leader in the field of blockchain technology, which has the long-term potential to transform entire branches of industry profoundly.
IBM has an image problem, there is no doubt about it. Contrary to the broad opinion, the company has been very attractive in recent years. The business segments promise long-term growth. Of course, investors can also benefit from this. The bad image is, of course, also reflected in the company’s evaluation. This suggests that the share price does not yet reflect the full potential. In the long term, IBM could further expand its market power.