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IBM isn't considered a tech company?

by cronix 5y ago

dharmab 5y ago
That's the joke
spullara 5y ago
They are far more of a services and support company than a tech company these days. Their current tech is mostly used by their services teams to implement solutions. https://www.statista.com/statistics/274823/ibms-global-revenue-by-segment/ https://www.statista.com/statistics/274823/ibms-global-reven...
gogopuppygogo 5y ago
Only novel tech they have been working on that I’m aware of is quantum computers…
- tibbydudeza 5y ago
  Watson ... <snicker>.
mbesto 5y ago
As I've said before in comments here on HN and Twitter, there is no real definition of a "tech company" or "tech industry", the word "tech" defines the operating model. This is the dirty little secret VCs don't like to tell you because it means they can call Tesla a tech company (its a car and battery manufacturer) to fetch tech-like valuations or Facebook a tech company (its a media company). Tech operating models typically net high gross margins (i.e. Facebook) which is one of its major defining characteristics. I therefore posit there is no such thing as a "tech industry", but rather businesses that sit on a spectrum of operating models from: - Back office IT supported - Tech enabled - Tech Led Personally I would define IBM as a Diversified IT, IT Services and Software company that is has an operating model that sits somewhere between tech enabled and tech led.
acchow 5y ago
It's my understanding that they are largely a consultancy now, helping their clients move things onto their cloud products. I imagine there is quite a bit of vendor lock-in. Seeing as the need for cloud migration is ever-growing in every single industry, I don't see IBM becoming totally irrelevant any time soon. But they are definitely past "Day 1".
mbrodersen 5y ago
IBM is a consulting company. Only IBM Research and their mainframe division do anything interesting in tech. And their research division seems to be mainly there for marketing/image purposes (helping consultants sell overpriced “solutions” to clueless top management).

IBM isn't considered a tech company?

by cronix 5y ago

IBM isn't considered a tech company?

dharmab 5y ago

That's the joke

spullara 5y ago

They are far more of a services and support company than a tech company these days. Their current tech is mostly used by their services teams to implement solutions. https://www.statista.com/statistics/274823/ibms-global-revenue-by-segment/ https://www.statista.com/statistics/274823/ibms-global-reven...

gogopuppygogo 5y ago

Only novel tech they have been working on that I’m aware of is quantum computers…

tibbydudeza 5y ago
Watson ... <snicker>.

mbesto 5y ago

As I've said before in comments here on HN and Twitter, there is no real definition of a "tech company" or "tech industry", the word "tech" defines the operating model. This is the dirty little secret VCs don't like to tell you because it means they can call Tesla a tech company (its a car and battery manufacturer) to fetch tech-like valuations or Facebook a tech company (its a media company). Tech operating models typically net high gross margins (i.e. Facebook) which is one of its major defining characteristics. I therefore posit there is no such thing as a "tech industry", but rather businesses that sit on a spectrum of operating models from: - Back office IT supported - Tech enabled - Tech Led Personally I would define IBM as a Diversified IT, IT Services and Software company that is has an operating model that sits somewhere between tech enabled and tech led.

acchow 5y ago

It's my understanding that they are largely a consultancy now, helping their clients move things onto their cloud products. I imagine there is quite a bit of vendor lock-in. Seeing as the need for cloud migration is ever-growing in every single industry, I don't see IBM becoming totally irrelevant any time soon. But they are definitely past "Day 1".

mbrodersen 5y ago

IBM is a consulting company. Only IBM Research and their mainframe division do anything interesting in tech. And their research division seems to be mainly there for marketing/image purposes (helping consultants sell overpriced “solutions” to clueless top management).