The Gujarat government is making significant strides in adopting Artificial Intelligence (AI) technologies. The state has signed MoUs with IBM, Microsoft, and NASSCOM to establish AI clusters, centers of excellence, and enhance AI capabilities, positioning itself as a leader in the AI revolution. The initiative also includes training programs for 25,000 students over three years.
IBM witnessed a surge in its AI bookings, surpassing the $1 billion mark. This significant milestone underscores the increasing adoption of AI by enterprises to enhance productivity, drive business outcomes, and improve customer experiences. IBM’s CEO, Arvind Krishna, highlighted the growing traction of enterprise AI and the company’s strategic partnerships with industry leaders such as NVIDIA Corp and ServiceNow Inc to drive AI capabilities and digital transformation.
IBM has released its financial results for the first quarter of 2024, exceeding analysts’ expectations. The company reported earnings per share (EPS) of $1.68, surpassing the estimated $1.60 EPS. However, revenue came in slightly below estimates, with reported revenue of $14.46 billion compared to the anticipated $14.55 billion.
At the TIME100 Summit, tech executives emphasized the ethical development of artificial intelligence (AI) and its potential benefits. IBM announced investments in climate modeling using AI, while Doconomy highlighted the importance of climate literacy. The summit brings together leaders from various sectors to discuss solutions and drive action towards a better world.
Amit Daryanani, Senior Managing Director at Evercore ISI, appeared on ‘Closing Bell Overtime’ to analyze IBM’s recent quarterly performance. Daryanani offered his insights on IBM’s financial performance and discussed the company’s strategic initiatives.
IBM has announced its intention to acquire HashiCorp, a multi-cloud infrastructure automation company, for $35 per share in cash, with an enterprise value of $6.4 billion. The acquisition aligns with IBM’s focus on expanding its hybrid cloud and AI capabilities. HashiCorp’s products are widely used for managing infrastructure as code, automating application deployment, enhancing security, and improving cloud infrastructure operations.
International Business Machines (IBM) reported earnings per share (EPS) of $1.68 in its first quarter of 2023, surpassing the analyst estimate of $1.58 by $0.10. The company’s revenue came in at $14.46 billion, slightly lower than the consensus estimate of $14.51 billion. IBM’s stock closed at $184.01, marking a decline of 1.82% over the past three months and an increase of 46.17% over the past year.
International Business Machines (IBM) has announced the acquisition of HashiCorp for $6.4 billion. This move aims to expand IBM’s cloud-based software products to meet the growing demand for AI-powered services. Software has emerged as a key focus area for IBM, especially amid cautious spending in its consulting business due to rising interest rates. The acquisition will further strengthen IBM’s cloud capabilities, which have become increasingly crucial for storing and processing the vast data used in AI programs.
IBM has agreed to acquire cloud software provider HashiCorp for $35 per share in cash, valuing the deal at $6.4 billion net of cash. The acquisition is expected to be accretive to IBM’s earnings and cash flow in the future. However, IBM’s first-quarter revenue fell short of analysts’ estimates, marking the third revenue miss in the past five quarters. Revenue from software, consulting, and infrastructure services all came in below expectations, despite an increase in overall revenue of around 1.5% year-over-year. IBM shares dipped 3% in extended trading after the announcement.
IBM has reported solid revenue and free cash flow growth in the first quarter of 2024, driven by the strength of its hybrid cloud and AI strategy. The company’s book of business for Watsonx and generative AI continues to show strong momentum, with growth quarter over quarter. IBM is also strengthening its position in the hybrid cloud and AI-driven technology landscape by acquiring HashiCorp, Inc. The acquisition is expected to create a comprehensive end-to-end hybrid cloud platform for the AI era. IBM remains committed to investing in growth opportunities and returning value to shareholders through its dividend.
