IBM NewCo

History

2020: Message about IBM NewCo creation

On October 8, 2020 IBM announced department in the new independent company of business on rendering services in the field of the managed infrastructure (the help in migration in a cloud, a hosting, network management and so forth). The new structure received the name IBM NewCo.

By October 8, 2020 the separated business is a part of division of Global Technology Services (GTS) to which technical support services also belong. The last will remain in the main company IBM after completion of restructuring which should take place by the end of 2021.

IBM positions NewCo which order portfolio makes $60 billion as the "leading world company of services of the managed infrastructure" having more than 4600 clients in 115 countries of the world including more than 75% of the companies from the list of Fortune 100. In 2019 the sales volume of GTS, the providing service of consulting, business process management and applications, was $27.36 billion.

IBM separated business in the field of services of migration in a cloud and network managements of $19 billion. The new structure received the name IBM NewCo

The CEO of IBM Arvind Krishna noted that such restructuring will allow corporation to focus on the highly profitable and fast-growing hybrid cloud business completely. According to the top manager, narrowing of activity of the company will promote the best revenue growth of IBM when implementing "opportunities of a hybrid cloud for $1 trillion".

IBM was always transformed better to help clients to pass from one technology era to another, – Arvind Krishna says. – It is the end-to-end line connecting all important points of our rich history. From punched cards to electron tubes, transistors, mainframes, the PC, and now and a hybrid cloud and artificial intelligence - the history of IBM substantially is the history of the company following a way of continuous conversions.[1]

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