IBM will split into two separate companies by end of 2021

The new company will focus on lower-margin lines of businesses.

IBM will split into two separate companies by end of 2021 | BEAMSTART News

Global technology company, IBM, announced this morning that the technology giant will be splitting into 2 separate companies.

The news was announced by CEO Arvind Krishna in an investor call earlier today.

With the new split, IBM will be spinning off some of its lower-margin lines of businesses into the new company, and prioritize higher-margin cloud services.

"We divested networking back in the '90s, we divested PCs back in the 2000s, we divested semiconductors about five years ago because all of them didn’t necessarily play into the integrated value proposition," mentioned CEO Arvind Krishna. 

The name of IBM's new spin-off company has yet to be finalized, and is currently referred to as "NewCo" in all of IBM's marketing and investor relations material.

Investors are reacting positively on the news of the 109-year-old company's plans, resulting in its stock rallying 7% later during the day.

Please log in to read this article.

Register for free today and enjoy the following:

  • Get access to members-only content.
  • Expand your network and exchange messages with other members.
  • Promote your company, post up jobs, find customers, and raise funds.
  • Receive special invitations to upcoming events and community activities.
  • and lots more!

BEAMSTART is a global business community with the aim of connecting people to opportunities. Expand your network, discover new possibilities, and explore a vast database of resources that can help you go further in your business and career.


Download the App

Never miss an opportunity again. Be part of the global community of CEOs, Business Leaders, and Professionals. Download below to instantly form partnerships and discover opportunities:

© 2016 - 2020 BEAMSTART. All Rights Reserved (Legal).