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Wikipedia

IBM

The International Business Machines Corporation (IBM), nicknamed Big Blue,[7] is an American multinational technology corporation headquartered in Armonk, New York, with operations in over 175 countries.[8][9] It specializes in computer hardware, middleware, and software, and provides hosting and consulting services in areas ranging from mainframe computers to nanotechnology. IBM is the largest industrial research organization in the world, with 19 research facilities across a dozen countries, and has held the record for most annual U.S. patents generated by a business for 29 consecutive years from 1993 to 2021.[10][11][12]

International Business Machines Corporation
BM CHQ in Armonk, New York in 2014
IBM
TypePublic
ISINUS4592001014
IndustryInformation technology
PredecessorsBundy Manufacturing Company
Computing Scale Company of America
International Time Recording Company
Tabulating Machine Company
Computing-Tabulating-Recording Company
FoundedJune 16, 1911; 111 years ago (1911-06-16) (as Computing-Tabulating-Recording Company)
Endicott, New York, U.S.[1]
FounderHerman Hollerith
Charles Ranlett Flint
Thomas J. Watson, Sr.
Headquarters,
U.S.
Area served
177 countries[2]
Key people
ProductsAutomation
Robotics
Artificial intelligence
Cloud computing
Consulting
Blockchain
Computer hardware
Software
Quantum computing
Brands
Services
Revenue US$57.35 billion (2021)[5]
US$6.86 billion (2021)[5]
US$5.74 billion (2021)[5]
Total assets US$132.00 billion (2021)[5]
Total equity US$18.99 billion (2021)[5]
Number of employees
282,100 (December 2021)[6]
SubsidiariesList of subsidiaries
Websitewww.ibm.com

IBM was founded in 1911 as the Computing-Tabulating-Recording Company (CTR), a holding company of manufacturers of record-keeping and measuring systems. It was renamed "International Business Machines" in 1924 and soon became the leading manufacturer of punch-card tabulating systems. For the next several decades, IBM would become an industry leader in several emerging technologies, including electric typewriters, electromechanical calculators, and personal computers. During the 1960s and 1970s, the IBM mainframe, exemplified by the System/360, was the dominant computing platform, and the company produced 80 percent of computers in the United States and 70 percent of computers worldwide.[13]

After pioneering the multipurpose microcomputer in 1980s, which set the standard for personal computers, IBM began losing its market dominance to emerging competitors. Amid its relative decline, beginning in the 1990s, the company began downsizing its operations and divesting from commodity production, most notably selling its personal computer division to the Lenovo Group in 2005. IBM has since concentrated on computer services, software, supercomputers, and scientific research divisions. Since 2000, its supercomputers have consistently ranked among the most powerful in the world, and in 2001 it became the first company to generate more than 3,000 patents in one year, beating this record in 2008 with more than 4,000 patents.[13]

As one of the world's oldest and largest technology companies, IBM has been responsible for several technological innovations, including the automated teller machine (ATM), the floppy disk, the hard disk drive, the magnetic stripe card, the relational database, the SQL programming language, the UPC barcode, and dynamic random-access memory (DRAM).The company has made inroads in advanced computer chips, quantum computing, artificial intelligence, and data infrastructure. IBM employees or alumni have won various recognitions for their scientific research and inventions, including six Nobel Prizes and six Turing Awards; as of 2022, the company held 150,000 patents.[14]

IBM is a publicly traded company and one of 30 companies in the Dow Jones Industrial Average. It is among the world's largest employers, with over 297,900 employees worldwide as of 2022.[15] Despite its relative decline within the technology sector,[16] IBM is the seventh largest technology company by revenue, and 49th largest overall, according to Fortune.[17] It is also consistently ranked among the world's most recognizable, valuable, and admired brands,[18] and is known for its devoted following among tech enthusiasts and consumers.

History

IBM was founded in 1911 in Endicott, New York; as the Computing-Tabulating-Recording Company (CTR) and was renamed "International Business Machines" in 1924. IBM is incorporated in New York and has operations in over 170 countries.[9]

In the 1880s, technologies emerged that would ultimately form the core of International Business Machines (IBM). Julius E. Pitrap patented the computing scale in 1885;[19] Alexander Dey invented the dial recorder (1888);[20] Herman Hollerith (1860–1929) patented the Electric Tabulating Machine;[21] and Willard Bundy invented a time clock to record a worker's arrival and departure time on a paper tape in 1889.[22] On June 16, 1911, their four companies were amalgamated in New York State by Charles Ranlett Flint forming a fifth company, the Computing-Tabulating-Recording Company (CTR) based in Endicott, New York.[1][23] The five companies had 1,300 employees and offices and plants in Endicott and Binghamton, New York; Dayton, Ohio; Detroit, Michigan; Washington, D.C.; and Toronto.[citation needed]

They manufactured machinery for sale and lease, ranging from commercial scales and industrial time recorders, meat and cheese slicers, to tabulators and punched cards. Thomas J. Watson, Sr., fired from the National Cash Register Company by John Henry Patterson, called on Flint and, in 1914, was offered a position at CTR.[24] Watson joined CTR as general manager then, 11 months later, was made President when court cases relating to his time at NCR were resolved.[25] Having learned Patterson's pioneering business practices, Watson proceeded to put the stamp of NCR onto CTR's companies.[26] He implemented sales conventions, "generous sales incentives, a focus on customer service, an insistence on well-groomed, dark-suited salesmen and had an evangelical fervor for instilling company pride and loyalty in every worker".[27][28] His favorite slogan, "THINK", became a mantra for each company's employees.[27] During Watson's first four years, revenues reached $9 million ($141 million today) and the company's operations expanded to Europe, South America, Asia and Australia.[27] Watson never liked the clumsy hyphenated name "Computing-Tabulating-Recording Company" and on February 14, 1924, chose to replace it with the more expansive title "International Business Machines" which had previously been used as the name of CTR's Canadian Division.[29] By 1933, most of the subsidiaries had been merged into one company, IBM.[30]

 
NACA researchers using an IBM type 704 electronic data processing machine in 1957

The Nazis made extensive use of Hollerith punch card and alphabetical accounting equipment and IBM's majority-owned German subsidiary, Deutsche Hollerith Maschinen GmbH (Dehomag), supplied this equipment from the early 1930s. This equipment was critical to Nazi efforts to categorize citizens of both Germany and other nations that fell under Nazi control through ongoing censuses. This census data was used to facilitate the round-up of Jews and other targeted groups, and to catalog their movements through the machinery of the Holocaust, including internment in the concentration camps.[citation needed]

IBM has several leadership development and recognition programs to acknowledge and foster employee potential and achievements. For early-career high potential employees, IBM sponsors leadership development programs by discipline (e.g., general management (GMLDP), human resources (HRLDP), finance (FLDP)). Each year, the company also selects 500 IBM employees for the IBM Corporate Service Corps (CSC),[31] which gives top employees a month to do humanitarian work abroad.[32] For certain interns, IBM also has a program called Extreme Blue that partners top business and technical students to develop high-value technology and compete to present their business case to the company's CEO at internship's end.[33]

The company also has various designations for exceptional individual contributors such as Senior Technical Staff Member (STSM), Research Staff Member (RSM), Distinguished Engineer (DE), and Distinguished Designer (DD).[34] Prolific inventors can also achieve patent plateaus and earn the designation of Master Inventor. The company's most prestigious designation is that of IBM Fellow. Since 1963, the company names a handful of Fellows each year based on technical achievement. Other programs recognize years of service such as the Quarter Century Club established in 1924, and sellers are eligible to join the Hundred Percent Club, composed of IBM salesmen who meet their quotas, convened in Atlantic City, New Jersey. Each year, the company also selects 1,000 IBM employees annually to award the Best of IBM Award, which includes an all-expenses-paid trip to the awards ceremony in an exotic location.

IBM built the Automatic Sequence Controlled Calculator, an electromechanical computer, during World War II. It offered its first commercial stored-program computer, the vacuum tube based IBM 701, in 1952. The IBM 305 RAMAC introduced the hard disk drive in 1956. The company switched to transistorized designs with the 7000 and 1400 series, beginning in 1958.

In 1956, the company demonstrated the first practical example of artificial intelligence when Arthur L. Samuel of IBM's Poughkeepsie, New York, laboratory programmed an IBM 704 not merely to play checkers but "learn" from its own experience. In 1957, the FORTRAN scientific programming language was developed. In 1961, IBM developed the SABRE reservation system for American Airlines and introduced the highly successful Selectric typewriter.

In 1963, IBM employees and computers helped NASA track the orbital flights of the Mercury astronauts. A year later, it moved its corporate headquarters from New York City to Armonk, New York. The latter half of the 1960s saw IBM continue its support of space exploration, participating in the 1965 Gemini flights, 1966 Saturn flights, and 1969 lunar mission. IBM also developed and manufactured the Saturn V's Instrument Unit and Apollo spacecraft guidance computers.

 
An IBM System/360 in use at the University of Michigan c. 1969
 
IBM guidance computer hardware for the Saturn V Instrument Unit

On April 7, 1964, IBM launched the first computer system family, the IBM System/360. It spanned the complete range of commercial and scientific applications from large to small, allowing companies for the first time to upgrade to models with greater computing capability without having to rewrite their applications. It was followed by the IBM System/370 in 1970. Together the 360 and 370 made the IBM mainframe the dominant mainframe computer and the dominant computing platform in the industry throughout this period and into the early 1980s. They and the operating systems that ran on them such as OS/VS1 and MVS, and the middleware built on top of those such as the CICS transaction processing monitor, had a near-monopoly-level market share and became the thing IBM was most known for during this period.[35]

In 1969, the United States of America alleged that IBM violated the Sherman Antitrust Act by monopolizing or attempting to monopolize the general-purpose electronic digital computer system market, specifically computers designed primarily for business, and subsequently alleged that IBM violated the antitrust laws in IBM's actions directed against leasing companies and plug-compatible peripheral manufacturers. Shortly after, IBM unbundled its software and services in what many observers believed was a direct result of the lawsuit, creating a competitive market for software. In 1982, the Department of Justice dropped the case as "without merit".[36]

Also in 1969, IBM engineer Forrest Parry invented the magnetic stripe card that would become ubiquitous for credit/debit/ATM cards, driver's licenses, rapid transit cards, and a multitude of other identity and access control applications. IBM pioneered the manufacture of these cards, and for most of the 1970s, the data processing systems and software for such applications ran exclusively on IBM computers. In 1974, IBM engineer George J. Laurer developed the Universal Product Code.[37] IBM and the World Bank first introduced financial swaps to the public in 1981, when they entered into a swap agreement.[38] The IBM PC, originally designated IBM 5150, was introduced in 1981, and it soon became an industry standard. In 1991 IBM spun out its printer manufacturing into a new business called Lexmark.

In 1993, IBM posted an $8 billion loss – at the time the biggest in American corporate history.[39] Lou Gerstner was hired as CEO from RJR Nabisco to turn the company around.[40] In 2002 IBM acquired PwC Consulting, the consulting arm of PwC which was merged into its IBM Global Services.[41][42]

 
IBM inventions (clockwise from top-left): the hard-disk drive, DRAM, the UPC bar code, and the magnetic stripe card

In 2005, the company sold its personal computer business to Chinese technology company Lenovo[43] and, in 2009, it acquired software company SPSS Inc. Later in 2009, IBM's Blue Gene supercomputing program was awarded the National Medal of Technology and Innovation by U.S. President Barack Obama. In 2011, IBM gained worldwide attention for its artificial intelligence program Watson, which was exhibited on Jeopardy! where it won against game-show champions Ken Jennings and Brad Rutter. The company also celebrated its 100th anniversary in the same year on June 16. In 2012, IBM announced it has agreed to buy Kenexa and Texas Memory Systems,[44] and a year later it also acquired SoftLayer Technologies, a web hosting service, in a deal worth around $2 billion.[45] Also that year, the company designed a video surveillance system for Davao City.[46]

In 2014, IBM announced it would sell its x86 server division to Lenovo for $2.1 billion.[47][better source needed] while continuing to offer Power ISA-based servers. Also that year, IBM began announcing several major partnerships with other companies, including Apple Inc.,[48][49] Twitter,[50] Facebook,[51] Tencent,[52] Cisco,[53] UnderArmour,[54] Box,[55] Microsoft,[56] VMware,[57] CSC,[58] Macy's,[59] Sesame Workshop,[60] the parent company of Sesame Street, and Salesforce.com.[61]

In 2015, IBM announced three major acquisitions: Merge Healthcare for $1 billion,[62] data storage vendor Cleversafe, and all digital assets from The Weather Company, including Weather.com and the Weather Channel mobile app.[63][64] Also that year, IBM employees created the film A Boy and His Atom, which was the first molecule movie to tell a story. In 2016, IBM acquired video conferencing service Ustream and formed a new cloud video unit.[65][66] In April 2016, it posted a 14-year low in quarterly sales.[67] The following month, Groupon sued IBM accusing it of patent infringement, two months after IBM accused Groupon of patent infringement in a separate lawsuit.[68]

In 2015, IBM bought the digital part of The Weather Company;,[69] Truven Health Analytics for $2.6 billion in 2016, and in October 2018, IBM announced its intention to acquire Red Hat for $34 billion,[70][71][72] which was completed on July 9, 2019.[73]

IBM announced in October 2020 that it would divest the Managed Infrastructure Services unit of its Global Technology Services division into a new public company.[74] The new company, Kyndryl, will have 90,000 employees, 4,600 clients in 115 countries, with a backlog of $60 billion.[75][76][77] IBM's spin off will be greater than any of its previous divestitures, and welcomed by investors.[78][79][80] In January 2021, IBM appointed Martin Schroeter, who had been IBM's CFO from 2014 through the end of 2017, as CEO of Kyndryl.[81][82]

On 7 March 2022, a few days after the start of the Russian invasion of Ukraine, IBM CEO Arvind Krishna published a Ukrainian flag and announced that "we have suspended all business in Russia". All Russian articles were also removed from the IBM website.[83] On 7 June, Krishna announced that IBM would carry out an "orderly wind-down" of its operations in Russia.[84]

Headquarters and offices

 
IBM CHQ in Armonk, New York in 2014
 
Pangu Plaza, one of IBM's offices in Beijing, China

IBM is headquartered in Armonk, New York, a community 37 miles (60 km) north of Midtown Manhattan.[85] A nickname for the company is the "Colossus of Armonk".[86] Its principal building, referred to as CHQ, is a 283,000-square-foot (26,300 m2) glass and stone edifice on a 25-acre (10 ha) parcel amid a 432-acre former apple orchard the company purchased in the mid-1950s.[87] There are two other IBM buildings within walking distance of CHQ: the North Castle office, which previously served as IBM's headquarters; and the Louis V. Gerstner, Jr., Center for Learning[88] (formerly known as IBM Learning Center (ILC)), a resort hotel and training center, which has 182 guest rooms, 31 meeting rooms, and various amenities.[89]

IBM operates in 174 countries as of 2016,[2] with mobility centers in smaller markets areas and major campuses in the larger ones. In New York City, IBM has several offices besides CHQ, including the IBM Watson headquarters at Astor Place in Manhattan. Outside of New York, major campuses in the United States include Austin, Texas; Research Triangle Park (Raleigh-Durham), North Carolina; Rochester, Minnesota; and Silicon Valley, California.

IBM's real estate holdings are varied and globally diverse. Towers occupied by IBM include 1250 René-Lévesque (Montreal, Canada) and One Atlantic Center (Atlanta, Georgia, USA). In Beijing, China, IBM occupies Pangu Plaza,[90] the city's seventh tallest building and overlooking Beijing National Stadium ("Bird's Nest"), home to the 2008 Summer Olympics.

IBM India Private Limited is the Indian subsidiary of IBM, which is headquartered at Bangalore, Karnataka. It has facilities in Coimbatore,Chennai,Kochi, Ahmedabad, Delhi, Kolkata, Mumbai, Pune, Gurugram, Noida, Bhubaneshwar, Surat, Visakhapatnam, Hyderabad, Bangalore and Jamshedpur.

Other notable buildings include the IBM Rome Software Lab (Rome, Italy), Hursley House (Winchester, UK), 330 North Wabash (Chicago, Illinois, United States), the Cambridge Scientific Center (Cambridge, Massachusetts, United States), the IBM Toronto Software Lab (Toronto, Canada), the IBM Building, Johannesburg (Johannesburg, South Africa), the IBM Building (Seattle) (Seattle, Washington, United States), the IBM Hakozaki Facility (Tokyo, Japan), the IBM Yamato Facility (Yamato, Japan), the IBM Canada Head Office Building (Ontario, Canada) and the Watson IoT Headquarters[91] (Munich, Germany). Defunct IBM campuses include the IBM Somers Office Complex (Somers, New York), Spango Valley (Greenock, Scotland), and Tour Descartes (Paris, France). The company's contributions to industrial architecture and design include works by Marcel Breuer, Eero Saarinen, Ludwig Mies van der Rohe, I.M. Pei and Ricardo Legorreta. Van der Rohe's building in Chicago was recognized with the 1990 Honor Award from the National Building Museum.[92]

IBM was recognized as one of the Top 20 Best Workplaces for Commuters by the United States Environmental Protection Agency (EPA) in 2005, which recognized Fortune 500 companies that provided employees with excellent commuter benefits to help reduce traffic and air pollution.[93] In 2004, concerns were raised related to IBM's contribution in its early days to pollution in its original location in Endicott, New York.[94][95]

Finance

10-Year Financials (2011-2021)
Year Revenue
in mil. US$
Net income
in mil. US$
Employees
2011 106,916   15,855 433,362
2012 102,874   16,604 434,246
2013 98,367   16,483 431,212
2014 92,793   12,022 379,592
2015 81,741   13,190 377,757
2016 79,919   11,872 380,300
2017 79,139   5,753 366,600
2018 79,591   8,723 350,600
2019 77,100   9,400 352,600
2020 73,620   5,590 345,900
2021 57,350    5,743 282,100
 =IBM's financial statements from 2021 annual report have adjusted revenue, income numbers, employee count for the previous years to account for discontinued operations related to the separation of Kyndryl.

For the fiscal year 2020, IBM reported earnings of $5.6 billion, with an annual revenue of $73.6 billion. IBM's revenue has fallen for 8 of the last 9 years.[96] IBM's market capitalization was valued at over $127 billion as of April 2021.[97] IBM ranked No. 38 on the 2020 Fortune 500 rankings of the largest United States corporations by total revenue.[98] In 2014, IBM was accused of using "financial engineering" to hit its quarterly earnings targets rather than investing for the longer term.[99][100][101]

Products and services

IBM has a large and diverse portfolio of products and services. As of 2016, these offerings fall into the categories of cloud computing, artificial intelligence, commerce, data and analytics, Internet of things (IoT),[102] IT infrastructure, mobile, digital workplace[103] and cybersecurity.[104]

IBM Cloud includes infrastructure as a service (IaaS), software as a service (SaaS) and platform as a service (PaaS) offered through public, private and hybrid cloud delivery models. For instance, the IBM Bluemix PaaS enables developers to quickly create complex websites on a pay-as-you-go model. IBM SoftLayer is a dedicated server, managed hosting and cloud computing provider, which in 2011 reported hosting more than 81,000 servers for more than 26,000 customers.[105] IBM also provides Cloud Data Encryption Services (ICDES), using cryptographic splitting to secure customer data.[106]

IBM also hosts the industry-wide cloud computing and mobile technologies conference InterConnect each year.[107]

Hardware designed by IBM for these categories include IBM's Power microprocessors, which are employed inside many console gaming systems, including Xbox 360,[108] PlayStation 3, and Nintendo's Wii U.[109][110] IBM Secure Blue is encryption hardware that can be built into microprocessors,[111] and in 2014, the company revealed TrueNorth, a neuromorphic CMOS integrated circuit and announced a $3 billion investment over the following five years to design a neural chip that mimics the human brain, with 10 billion neurons and 100 trillion synapses, but that uses just 1 kilowatt of power.[112] In 2016, the company launched all-flash arrays designed for small and midsized companies, which includes software for data compression, provisioning, and snapshots across various systems.[113]

IT outsourcing also represents a major service provided by IBM, with more than 60 data centers worldwide.[114] alphaWorks is IBM's source for emerging software technologies, and SPSS is a software package used for statistical analysis. IBM's Kenexa suite provides employment and retention solutions[buzzword], and includes the BrassRing, an applicant tracking system used by thousands of companies for recruiting.[115] IBM also owns The Weather Company, which provides weather forecasting and includes weather.com and Weather Underground.[116]

Smarter Planet is an initiative that seeks to achieve economic growth, near-term efficiency, sustainable development, and societal progress,[117][118] targeting opportunities such as smart grids,[119] water management systems,[120] solutions to traffic congestion,[121] and greener buildings.[122]

Services provisions include Redbooks, which are publicly available online books about best practices with IBM products, and developerWorks, a website for software developers and IT professionals with how-to articles and tutorials, as well as software downloads, code samples, discussion forums, podcasts, blogs, wikis, and other resources for developers and technical professionals.[123]

IBM Watson is a technology platform that uses natural language processing and machine learning to reveal insights from large amounts of unstructured data.[124] Watson was debuted in 2011 on the American gameshow Jeopardy!, where it competed against champions Ken Jennings and Brad Rutter in a three-game tournament and won. Watson has since been applied to business, healthcare, developers, and universities. For example, IBM has partnered with Memorial Sloan Kettering Cancer Center to assist with considering treatment options for oncology patients and for doing melanoma screenings.[125] Also, several companies have begun using Watson for call centers, either replacing or assisting customer service agents.[126]

 
IBM Q System One (2019), the first circuit-based commercial quantum computer

In January 2019, IBM introduced its first commercial quantum computer IBM Q System One.[127]

IBM also provides infrastructure for the New York City Police Department through their IBM Cognos Analytics to perform data visualizations of CompStat crime data.[128]

In March 2020, it was announced that IBM will build the first quantum computer in Germany. The computer should allow researchers to harness the technology without falling foul of the EU's increasingly assertive stance on data sovereignty.[129]

In May 2022, IBM announced the company had signed a multi-year Strategic Collaboration Agreement with Amazon Web Services to make a wide variety of IBM software available as a service on AWS Marketplace. Additionally, the deal includes both companies to make joint investments that make it easier for companies to consume IBM’s offering and integrate them with AWS, including developer training and software development for select markets.[130]

In November 2022, the company came out with a chip called the 433-qubit Osprey. Time called it "the world's most powerful quantum processor" and noted that if the processor's speed were represented in bits, the number would be larger than the total number of atoms in the universe.[131]

In an effort to streamline its products and services, beginning in the 1990s, IBM has regularly sold off low margin assets while shifting its focus to higher-value, more profitable markets. In 1991, the company spun off its printer and keyboard manufacturing division to Lexmark, in 2005 it sold its personal computer (ThinkPad/ThinkCentre) business to Lenovo, in 2015 it adopted a "fabless" model with semiconductors design and offloaded manufacturing to GlobalFoundries, in 2021 it spun-off its managed infrastructure services unit into a new public company named Kyndryl,[132][133] IBM also announced the acquisition of the enterprise software company Turbonomic for $1.5 Billion.[134] and in 2022 it announced it would sell Watson Health to private equity firm Francisco Partners.[135]

Research

 
The Thomas J. Watson Research Center in Yorktown Heights, New York, is one of 12 IBM research labs worldwide.

Research has been part of IBM since its founding, and its organized efforts trace their roots back to 1945, when the Watson Scientific Computing Laboratory was founded at Columbia University in New York City, converting a renovated fraternity house on Manhattan's West Side into IBM's first laboratory. Now, IBM Research constitutes the largest industrial research organization in the world, with 12 labs on 6 continents.[136] IBM Research is headquartered at the Thomas J. Watson Research Center in New York, and facilities include the Almaden lab in California, Austin lab in Texas, Australia lab in Melbourne, Brazil lab in São Paulo and Rio de Janeiro, China lab in Beijing and Shanghai, Ireland lab in Dublin, Haifa lab in Israel, India lab in Delhi and Bangalore, Tokyo lab, Zurichlab and Africa lab in Nairobi.

In terms of investment, IBM's R&D expenditure totals several billion dollars each year. In 2012, that expenditure was approximately $6.9 billion.[137] Recent allocations have included $1 billion to create a business unit for Watson in 2014, and $3 billion to create a next-gen semiconductor along with $4 billion towards growing the company's "strategic imperatives" (cloud, analytics, mobile, security, social) in 2015.[138]

IBM has been a leading proponent of the Open Source Initiative, and began supporting Linux in 1998.[139] The company invests billions of dollars in services and software based on Linux through the IBM Linux Technology Center, which includes over 300 Linux kernel developers.[140] IBM has also released code under different open-source licenses, such as the platform-independent software framework Eclipse (worth approximately $40 million at the time of the donation),[141] the three-sentence International Components for Unicode (ICU) license, and the Java-based relational database management system (RDBMS) Apache Derby. IBM's open source involvement has not been trouble-free, however (see SCO v. IBM).

Famous inventions and developments by IBM include: the Automated teller machine (ATM), Dynamic random access memory (DRAM), the electronic keypunch, the financial swap, the floppy disk, the hard disk drive, the magnetic stripe card, the relational database, RISC, the SABRE airline reservation system, SQL, the Universal Product Code (UPC) bar code, and the virtual machine. Additionally, in 1990 company scientists used a scanning tunneling microscope to arrange 35 individual xenon atoms to spell out the company acronym, marking the first structure assembled one atom at a time.[142] A major part of IBM research is the generation of patents. Since its first patent for a traffic signaling device, IBM has been one of the world's most prolific patent sources. In 2021, the company held the record for most patents generated by a business for 29 consecutive years for the achievement.[10]

Five IBM employees have received the Nobel Prize: Leo Esaki, of the Thomas J. Watson Research Center in Yorktown Heights, N.Y., in 1973, for work in semiconductors; Gerd Binnig and Heinrich Rohrer, of the Zurich Research Center, in 1986, for the scanning tunneling microscope;[143] and Georg Bednorz and Alex Müller, also of Zurich, in 1987, for research in superconductivity. Six IBM employees have won the Turing Award, including the first female recipient Frances E. Allen.[144] Ten National Medals of Technology (USA) and five National Medals of Science (USA) have been awarded to IBM employees.

Brand and reputation

IBM is nicknamed Big Blue partly due to its blue logo and color scheme,[145][146] and also in reference to its former de facto dress code of white shirts with blue suits.[145][147] The company logo has undergone several changes over the years, with its current "8-bar" logo designed in 1972 by graphic designer Paul Rand.[148] It was a general replacement for a 13-bar logo, since period photocopiers did not render narrow (as opposed to tall) stripes well. Aside from the logo, IBM used Helvetica as a corporate typeface for 50 years, until it was replaced in 2017 by the custom-designed IBM Plex.

IBM has a valuable brand as a result of over 100 years of operations and marketing campaigns. Since 1996, IBM has been the exclusive technology partner for the Masters Tournament, one of the four major championships in professional golf, with IBM creating the first Masters.org (1996), the first course cam (1998), the first iPhone app with live streaming (2009), and first-ever live 4K Ultra High Definition feed in the United States for a major sporting event (2016).[149] As a result, IBM CEO Ginni Rometty became the third female member of the Master's governing body, the Augusta National Golf Club.[150] IBM is also a major sponsor in professional tennis, with engagements at the U.S. Open, Wimbledon, the Australian Open, and the French Open.[151] The company also sponsored the Olympic Games from 1960 to 2000,[152] and the National Football League from 2003 to 2012.[153]

In 2012, IBM's brand was valued at $75.5 billion and ranked by Interbrand as the third-best brand worldwide.[154] That same year, it was also ranked the top company for leaders (Fortune), the number two green company in the U.S. (Newsweek),[155] the second-most respected company (Barron's),[156] the fifth-most admired company (Fortune), the 18th-most innovative company (Fast Company), and the number one in technology consulting and number two in outsourcing (Vault).[157] In 2015, Forbes ranked IBM as the fifth-most valuable brand,[158] and for 2020, the Drucker Institute named IBM the No. 3 best-managed company.[159] During the 2022 Russian invasion of Ukraine, IBM donated $250,000 to Polish Humanitarian Action and the same amount to People in Need, Czech Republic.[160]

In ESG, IBM reported Total CO2e emissions (Direct + Indirect) for the twelve months ending 31 December 2020 at 621 Kt (-324 /-34.3% y-o-y).[161] In February 2021, IBM committed to achieve net zero greenhouse gas emissions by the year 2030.[162]

People and culture

Employees

 
New IBM employees being welcomed to a bootcamp at IBM Austin, 2015
 
Employees demonstrating IBM Watson capabilities in a Jeopardy! exhibition match on campus, 2011

IBM has one of the largest workforces in the world, and employees at Big Blue are referred to as "IBMers". The company was among the first corporations to provide group life insurance (1934), survivor benefits (1935), training for women (1935), paid vacations (1937), and training for disabled people (1942). IBM hired its first black salesperson in 1946, and in 1952, CEO Thomas J. Watson, Jr. published the company's first written equal opportunity policy letter, one year before the U.S. Supreme Court decision in Brown vs. Board of Education and 11 years before the Civil Rights Act of 1964. The Human Rights Campaign has rated IBM 100% on its index of gay-friendliness every year since 2003,[163] with IBM providing same-sex partners of its employees with health benefits and an anti-discrimination clause. Additionally, in 2005, IBM became the first major company in the world to formally commit to not using genetic information in employment decisions. In 2017, IBM was named to Working Mother's 100 Best Companies List for the 32nd consecutive year.[164]

IBM has several leadership development and recognition programs to recognize employee potential and achievements. For early-career high potential employees, IBM sponsors leadership development programs by discipline (e.g., general management (GMLDP), human resources (HRLDP), finance (FLDP)). Each year, the company also selects 500 IBM employees for the IBM Corporate Service Corps (CSC),[165] which gives top employees a month to do humanitarian work abroad.[32] For certain interns, IBM also has a program called Extreme Blue that partners top business and technical students to develop high-value technology and compete to present their business case to the company's CEO at internship's end.[166]

The company also has various designations for exceptional individual contributors such as Senior Technical Staff Member (STSM), Research Staff Member (RSM), Distinguished Engineer (DE), and Distinguished Designer (DD).[34] Prolific inventors can also achieve patent plateaus and earn the designation of Master Inventor. The company's most prestigious designation is that of IBM Fellow. Since 1963, the company names a handful of Fellows each year based on technical achievement. Other programs recognize years of service such as the Quarter Century Club established in 1924, and sellers are eligible to join the Hundred Percent Club, composed of IBM salesmen who meet their quotas, convened in Atlantic City, New Jersey. Each year, the company also selects 1,000 IBM employees annually to award the Best of IBM Award, which includes an all-expenses-paid trip to the awards ceremony in an exotic location.

IBM's culture has evolved significantly over its century of operations. In its early days, a dark (or gray) suit, white shirt, and a "sincere" tie constituted the public uniform for IBM employees.[167] During IBM's management transformation in the 1990s, CEO Louis V. Gerstner Jr. relaxed these codes, normalizing the dress and behavior of IBM employees.[168] The company's culture has also given to different plays on the company acronym (IBM), with some saying it stands for "I've Been Moved" due to relocations and layoffs,[169] others saying it stands for "I'm By Myself" pursuant to a prevalent work-from-anywhere norm,[170] and others saying it stands for "I'm Being Mentored" due to the company's open door policy and encouragement for mentoring at all levels.[171] In terms of labor relations, the company has traditionally resisted labor union organizing,[172] although unions represent some IBM workers outside the United States.[173] In Japan, IBM employees also have an American football team complete with pro stadium, cheerleaders and televised games, competing in the Japanese X-League as the "Big Blue".[174]

In 2015, IBM started giving employees the option of choosing Mac as their primary work device, next to the option of a PC or a Linux distribution.[175] In 2016, IBM eliminated forced rankings and changed its annual performance review system to focus more on frequent feedback, coaching, and skills development.[176]

IBM alumni

Many IBM employees have achieved notability outside of work and after leaving IBM. In business, former IBM employees include Apple Inc. CEO Tim Cook,[177] former EDS CEO and politician Ross Perot, Microsoft chairman John W. Thompson, SAP co-founder Hasso Plattner, Gartner founder Gideon Gartner, Advanced Micro Devices (AMD) CEO Lisa Su,[178] Cadence Design Systems CEO Anirudh Devgan,[179] former Citizens Financial Group CEO Ellen Alemany, former Yahoo! chairman Alfred Amoroso, former AT&T CEO C. Michael Armstrong, former Xerox Corporation CEOs David T. Kearns and G. Richard Thoman,[180] former Fair Isaac Corporation CEO Mark N. Greene,[181] Citrix Systems co-founder Ed Iacobucci, ASOS.com chairman Brian McBride, former Lenovo CEO Steve Ward, and former Teradata CEO Kenneth Simonds.

In government, alumna Patricia Roberts Harris served as United States Secretary of Housing and Urban Development, the first African American woman to serve in the United States Cabinet.[182] Samuel K. Skinner served as U.S. Secretary of Transportation and as the White House Chief of Staff. Alumni also include U.S. Senators Mack Mattingly and Thom Tillis; Wisconsin governor Scott Walker;[183] former U.S. Ambassadors Vincent Obsitnik (Slovakia), Arthur K. Watson (France), and Thomas Watson Jr. (Soviet Union); and former U.S. Representatives Todd Akin,[184] Glenn Andrews, Robert Garcia, Katherine Harris,[185] Amo Houghton, Jim Ross Lightfoot, Thomas J. Manton, Donald W. Riegle Jr., and Ed Zschau.

Other former IBM employees include NASA astronaut Michael J. Massimino, Canadian astronaut and former Governor General Julie Payette, noted musician Dave Matthews,[186] Harvey Mudd College president Maria Klawe, Western Governors University president emeritus Robert Mendenhall, former University of Kentucky president Lee T. Todd Jr., NFL referee Bill Carollo,[187] former Rangers F.C. chairman John McClelland, and recipient of the Nobel Prize in Literature J. M. Coetzee. Thomas Watson Jr. also served as the 11th national president of the Boy Scouts of America.

Board and shareholders

The company's 15-member board of directors are responsible for overall corporate management and includes the current or former CEOs of Anthem, Dow Chemical, Johnson and Johnson, Royal Dutch Shell, UPS, and Vanguard as well as the presidents of Cornell University and Rensselaer Polytechnic Institute, and a retired U.S. Navy admiral.[188]

In 2011, IBM became the first technology company Warren Buffett's holding company Berkshire Hathaway invested in.[189] Initially he bought 64 million shares costing $10.5 billion. Over the years, Buffet increased his IBM holdings, but by the end of 2017 had reduced them by 94.5% to 2.05 million shares; by May 2018, he was completely out of IBM.[190]

See also

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Further reading

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other, uses, disambiguation, blue, redirects, here, other, uses, blue, disambiguation, international, business, machines, corporation, nicknamed, blue, american, multinational, technology, corporation, headquartered, armonk, york, with, operations, over, count. For other uses see IBM disambiguation Big Blue redirects here For other uses see Big Blue disambiguation The International Business Machines Corporation IBM nicknamed Big Blue 7 is an American multinational technology corporation headquartered in Armonk New York with operations in over 175 countries 8 9 It specializes in computer hardware middleware and software and provides hosting and consulting services in areas ranging from mainframe computers to nanotechnology IBM is the largest industrial research organization in the world with 19 research facilities across a dozen countries and has held the record for most annual U S patents generated by a business for 29 consecutive years from 1993 to 2021 10 11 12 International Business Machines CorporationBM CHQ in Armonk New York in 2014Trade nameIBMTypePublicTraded asNYSE IBMDJIA componentS amp P 100 componentS amp P 500 componentISINUS4592001014IndustryInformation technologyPredecessorsBundy Manufacturing CompanyComputing Scale Company of AmericaInternational Time Recording CompanyTabulating Machine CompanyComputing Tabulating Recording CompanyFoundedJune 16 1911 111 years ago 1911 06 16 as Computing Tabulating Recording Company Endicott New York U S 1 FounderHerman HollerithCharles Ranlett FlintThomas J Watson Sr HeadquartersArmonk New York U S Area served177 countries 2 Key peopleArvind Krishna Chairman amp CEO 3 Gary Cohn Vice Chairman 4 ProductsAutomationRoboticsArtificial intelligenceCloud computingConsultingBlockchainComputer hardwareSoftwareQuantum computingBrandsIBM CloudIBM Cognos AnalyticsIBM Planning AnalyticsSQLWatsonInformation Management SoftwareSPSSILOGTivoli SoftwareWebSpherealphaWorksMashup CenterPureQueryFortranIBM Quantum ExperienceMainframePower SystemsIBM storageIBM Q System One Full List ServicesOutsourcingProfessional servicesManaged servicesRevenueUS 57 35 billion 2021 5 Operating incomeUS 6 86 billion 2021 5 Net incomeUS 5 74 billion 2021 5 Total assetsUS 132 00 billion 2021 5 Total equityUS 18 99 billion 2021 5 Number of employees282 100 December 2021 6 SubsidiariesList of subsidiariesWebsitewww wbr ibm wbr comIBM was founded in 1911 as the Computing Tabulating Recording Company CTR a holding company of manufacturers of record keeping and measuring systems It was renamed International Business Machines in 1924 and soon became the leading manufacturer of punch card tabulating systems For the next several decades IBM would become an industry leader in several emerging technologies including electric typewriters electromechanical calculators and personal computers During the 1960s and 1970s the IBM mainframe exemplified by the System 360 was the dominant computing platform and the company produced 80 percent of computers in the United States and 70 percent of computers worldwide 13 After pioneering the multipurpose microcomputer in 1980s which set the standard for personal computers IBM began losing its market dominance to emerging competitors Amid its relative decline beginning in the 1990s the company began downsizing its operations and divesting from commodity production most notably selling its personal computer division to the Lenovo Group in 2005 IBM has since concentrated on computer services software supercomputers and scientific research divisions Since 2000 its supercomputers have consistently ranked among the most powerful in the world and in 2001 it became the first company to generate more than 3 000 patents in one year beating this record in 2008 with more than 4 000 patents 13 As one of the world s oldest and largest technology companies IBM has been responsible for several technological innovations including the automated teller machine ATM the floppy disk the hard disk drive the magnetic stripe card the relational database the SQL programming language the UPC barcode and dynamic random access memory DRAM The company has made inroads in advanced computer chips quantum computing artificial intelligence and data infrastructure IBM employees or alumni have won various recognitions for their scientific research and inventions including six Nobel Prizes and six Turing Awards as of 2022 the company held 150 000 patents 14 IBM is a publicly traded company and one of 30 companies in the Dow Jones Industrial Average It is among the world s largest employers with over 297 900 employees worldwide as of 2022 15 Despite its relative decline within the technology sector 16 IBM is the seventh largest technology company by revenue and 49th largest overall according to Fortune 17 It is also consistently ranked among the world s most recognizable valuable and admired brands 18 and is known for its devoted following among tech enthusiasts and consumers Contents 1 History 2 Headquarters and offices 3 Finance 4 Products and services 5 Research 6 Brand and reputation 7 People and culture 7 1 Employees 7 1 1 IBM alumni 7 2 Board and shareholders 8 See also 9 References 10 Further reading 11 External linksHistory EditMain article History of IBM IBM was founded in 1911 in Endicott New York as the Computing Tabulating Recording Company CTR and was renamed International Business Machines in 1924 IBM is incorporated in New York and has operations in over 170 countries 9 In the 1880s technologies emerged that would ultimately form the core of International Business Machines IBM Julius E Pitrap patented the computing scale in 1885 19 Alexander Dey invented the dial recorder 1888 20 Herman Hollerith 1860 1929 patented the Electric Tabulating Machine 21 and Willard Bundy invented a time clock to record a worker s arrival and departure time on a paper tape in 1889 22 On June 16 1911 their four companies were amalgamated in New York State by Charles Ranlett Flint forming a fifth company the Computing Tabulating Recording Company CTR based in Endicott New York 1 23 The five companies had 1 300 employees and offices and plants in Endicott and Binghamton New York Dayton Ohio Detroit Michigan Washington D C and Toronto citation needed They manufactured machinery for sale and lease ranging from commercial scales and industrial time recorders meat and cheese slicers to tabulators and punched cards Thomas J Watson Sr fired from the National Cash Register Company by John Henry Patterson called on Flint and in 1914 was offered a position at CTR 24 Watson joined CTR as general manager then 11 months later was made President when court cases relating to his time at NCR were resolved 25 Having learned Patterson s pioneering business practices Watson proceeded to put the stamp of NCR onto CTR s companies 26 He implemented sales conventions generous sales incentives a focus on customer service an insistence on well groomed dark suited salesmen and had an evangelical fervor for instilling company pride and loyalty in every worker 27 28 His favorite slogan THINK became a mantra for each company s employees 27 During Watson s first four years revenues reached 9 million 141 million today and the company s operations expanded to Europe South America Asia and Australia 27 Watson never liked the clumsy hyphenated name Computing Tabulating Recording Company and on February 14 1924 chose to replace it with the more expansive title International Business Machines which had previously been used as the name of CTR s Canadian Division 29 By 1933 most of the subsidiaries had been merged into one company IBM 30 NACA researchers using an IBM type 704 electronic data processing machine in 1957 The Nazis made extensive use of Hollerith punch card and alphabetical accounting equipment and IBM s majority owned German subsidiary Deutsche Hollerith Maschinen GmbH Dehomag supplied this equipment from the early 1930s This equipment was critical to Nazi efforts to categorize citizens of both Germany and other nations that fell under Nazi control through ongoing censuses This census data was used to facilitate the round up of Jews and other targeted groups and to catalog their movements through the machinery of the Holocaust including internment in the concentration camps citation needed IBM has several leadership development and recognition programs to acknowledge and foster employee potential and achievements For early career high potential employees IBM sponsors leadership development programs by discipline e g general management GMLDP human resources HRLDP finance FLDP Each year the company also selects 500 IBM employees for the IBM Corporate Service Corps CSC 31 which gives top employees a month to do humanitarian work abroad 32 For certain interns IBM also has a program called Extreme Blue that partners top business and technical students to develop high value technology and compete to present their business case to the company s CEO at internship s end 33 The company also has various designations for exceptional individual contributors such as Senior Technical Staff Member STSM Research Staff Member RSM Distinguished Engineer DE and Distinguished Designer DD 34 Prolific inventors can also achieve patent plateaus and earn the designation of Master Inventor The company s most prestigious designation is that of IBM Fellow Since 1963 the company names a handful of Fellows each year based on technical achievement Other programs recognize years of service such as the Quarter Century Club established in 1924 and sellers are eligible to join the Hundred Percent Club composed of IBM salesmen who meet their quotas convened in Atlantic City New Jersey Each year the company also selects 1 000 IBM employees annually to award the Best of IBM Award which includes an all expenses paid trip to the awards ceremony in an exotic location IBM built the Automatic Sequence Controlled Calculator an electromechanical computer during World War II It offered its first commercial stored program computer the vacuum tube based IBM 701 in 1952 The IBM 305 RAMAC introduced the hard disk drive in 1956 The company switched to transistorized designs with the 7000 and 1400 series beginning in 1958 In 1956 the company demonstrated the first practical example of artificial intelligence when Arthur L Samuel of IBM s Poughkeepsie New York laboratory programmed an IBM 704 not merely to play checkers but learn from its own experience In 1957 the FORTRAN scientific programming language was developed In 1961 IBM developed the SABRE reservation system for American Airlines and introduced the highly successful Selectric typewriter In 1963 IBM employees and computers helped NASA track the orbital flights of the Mercury astronauts A year later it moved its corporate headquarters from New York City to Armonk New York The latter half of the 1960s saw IBM continue its support of space exploration participating in the 1965 Gemini flights 1966 Saturn flights and 1969 lunar mission IBM also developed and manufactured the Saturn V s Instrument Unit and Apollo spacecraft guidance computers An IBM System 360 in use at the University of Michigan c 1969 IBM guidance computer hardware for the Saturn V Instrument Unit On April 7 1964 IBM launched the first computer system family the IBM System 360 It spanned the complete range of commercial and scientific applications from large to small allowing companies for the first time to upgrade to models with greater computing capability without having to rewrite their applications It was followed by the IBM System 370 in 1970 Together the 360 and 370 made the IBM mainframe the dominant mainframe computer and the dominant computing platform in the industry throughout this period and into the early 1980s They and the operating systems that ran on them such as OS VS1 and MVS and the middleware built on top of those such as the CICS transaction processing monitor had a near monopoly level market share and became the thing IBM was most known for during this period 35 In 1969 the United States of America alleged that IBM violated the Sherman Antitrust Act by monopolizing or attempting to monopolize the general purpose electronic digital computer system market specifically computers designed primarily for business and subsequently alleged that IBM violated the antitrust laws in IBM s actions directed against leasing companies and plug compatible peripheral manufacturers Shortly after IBM unbundled its software and services in what many observers believed was a direct result of the lawsuit creating a competitive market for software In 1982 the Department of Justice dropped the case as without merit 36 Also in 1969 IBM engineer Forrest Parry invented the magnetic stripe card that would become ubiquitous for credit debit ATM cards driver s licenses rapid transit cards and a multitude of other identity and access control applications IBM pioneered the manufacture of these cards and for most of the 1970s the data processing systems and software for such applications ran exclusively on IBM computers In 1974 IBM engineer George J Laurer developed the Universal Product Code 37 IBM and the World Bank first introduced financial swaps to the public in 1981 when they entered into a swap agreement 38 The IBM PC originally designated IBM 5150 was introduced in 1981 and it soon became an industry standard In 1991 IBM spun out its printer manufacturing into a new business called Lexmark In 1993 IBM posted an 8 billion loss at the time the biggest in American corporate history 39 Lou Gerstner was hired as CEO from RJR Nabisco to turn the company around 40 In 2002 IBM acquired PwC Consulting the consulting arm of PwC which was merged into its IBM Global Services 41 42 IBM inventions clockwise from top left the hard disk drive DRAM the UPC bar code and the magnetic stripe card In 2005 the company sold its personal computer business to Chinese technology company Lenovo 43 and in 2009 it acquired software company SPSS Inc Later in 2009 IBM s Blue Gene supercomputing program was awarded the National Medal of Technology and Innovation by U S President Barack Obama In 2011 IBM gained worldwide attention for its artificial intelligence program Watson which was exhibited on Jeopardy where it won against game show champions Ken Jennings and Brad Rutter The company also celebrated its 100th anniversary in the same year on June 16 In 2012 IBM announced it has agreed to buy Kenexa and Texas Memory Systems 44 and a year later it also acquired SoftLayer Technologies a web hosting service in a deal worth around 2 billion 45 Also that year the company designed a video surveillance system for Davao City 46 In 2014 IBM announced it would sell its x86 server division to Lenovo for 2 1 billion 47 better source needed while continuing to offer Power ISA based servers Also that year IBM began announcing several major partnerships with other companies including Apple Inc 48 49 Twitter 50 Facebook 51 Tencent 52 Cisco 53 UnderArmour 54 Box 55 Microsoft 56 VMware 57 CSC 58 Macy s 59 Sesame Workshop 60 the parent company of Sesame Street and Salesforce com 61 In 2015 IBM announced three major acquisitions Merge Healthcare for 1 billion 62 data storage vendor Cleversafe and all digital assets from The Weather Company including Weather com and the Weather Channel mobile app 63 64 Also that year IBM employees created the film A Boy and His Atom which was the first molecule movie to tell a story In 2016 IBM acquired video conferencing service Ustream and formed a new cloud video unit 65 66 In April 2016 it posted a 14 year low in quarterly sales 67 The following month Groupon sued IBM accusing it of patent infringement two months after IBM accused Groupon of patent infringement in a separate lawsuit 68 In 2015 IBM bought the digital part of The Weather Company 69 Truven Health Analytics for 2 6 billion in 2016 and in October 2018 IBM announced its intention to acquire Red Hat for 34 billion 70 71 72 which was completed on July 9 2019 73 IBM announced in October 2020 that it would divest the Managed Infrastructure Services unit of its Global Technology Services division into a new public company 74 The new company Kyndryl will have 90 000 employees 4 600 clients in 115 countries with a backlog of 60 billion 75 76 77 IBM s spin off will be greater than any of its previous divestitures and welcomed by investors 78 79 80 In January 2021 IBM appointed Martin Schroeter who had been IBM s CFO from 2014 through the end of 2017 as CEO of Kyndryl 81 82 On 7 March 2022 a few days after the start of the Russian invasion of Ukraine IBM CEO Arvind Krishna published a Ukrainian flag and announced that we have suspended all business in Russia All Russian articles were also removed from the IBM website 83 On 7 June Krishna announced that IBM would carry out an orderly wind down of its operations in Russia 84 Headquarters and offices Edit IBM CHQ in Armonk New York in 2014 Pangu Plaza one of IBM s offices in Beijing China IBM is headquartered in Armonk New York a community 37 miles 60 km north of Midtown Manhattan 85 A nickname for the company is the Colossus of Armonk 86 Its principal building referred to as CHQ is a 283 000 square foot 26 300 m2 glass and stone edifice on a 25 acre 10 ha parcel amid a 432 acre former apple orchard the company purchased in the mid 1950s 87 There are two other IBM buildings within walking distance of CHQ the North Castle office which previously served as IBM s headquarters and the Louis V Gerstner Jr Center for Learning 88 formerly known as IBM Learning Center ILC a resort hotel and training center which has 182 guest rooms 31 meeting rooms and various amenities 89 IBM operates in 174 countries as of 2016 update 2 with mobility centers in smaller markets areas and major campuses in the larger ones In New York City IBM has several offices besides CHQ including the IBM Watson headquarters at Astor Place in Manhattan Outside of New York major campuses in the United States include Austin Texas Research Triangle Park Raleigh Durham North Carolina Rochester Minnesota and Silicon Valley California IBM s real estate holdings are varied and globally diverse Towers occupied by IBM include 1250 Rene Levesque Montreal Canada and One Atlantic Center Atlanta Georgia USA In Beijing China IBM occupies Pangu Plaza 90 the city s seventh tallest building and overlooking Beijing National Stadium Bird s Nest home to the 2008 Summer Olympics IBM India Private Limited is the Indian subsidiary of IBM which is headquartered at Bangalore Karnataka It has facilities in Coimbatore Chennai Kochi Ahmedabad Delhi Kolkata Mumbai Pune Gurugram Noida Bhubaneshwar Surat Visakhapatnam Hyderabad Bangalore and Jamshedpur Other notable buildings include the IBM Rome Software Lab Rome Italy Hursley House Winchester UK 330 North Wabash Chicago Illinois United States the Cambridge Scientific Center Cambridge Massachusetts United States the IBM Toronto Software Lab Toronto Canada the IBM Building Johannesburg Johannesburg South Africa the IBM Building Seattle Seattle Washington United States the IBM Hakozaki Facility Tokyo Japan the IBM Yamato Facility Yamato Japan the IBM Canada Head Office Building Ontario Canada and the Watson IoT Headquarters 91 Munich Germany Defunct IBM campuses include the IBM Somers Office Complex Somers New York Spango Valley Greenock Scotland and Tour Descartes Paris France The company s contributions to industrial architecture and design include works by Marcel Breuer Eero Saarinen Ludwig Mies van der Rohe I M Pei and Ricardo Legorreta Van der Rohe s building in Chicago was recognized with the 1990 Honor Award from the National Building Museum 92 IBM was recognized as one of the Top 20 Best Workplaces for Commuters by the United States Environmental Protection Agency EPA in 2005 which recognized Fortune 500 companies that provided employees with excellent commuter benefits to help reduce traffic and air pollution 93 In 2004 concerns were raised related to IBM s contribution in its early days to pollution in its original location in Endicott New York 94 95 Finance Edit10 Year Financials 2011 2021 Year Revenuein mil US Net incomein mil US Employees2011 106 916 15 855 433 3622012 102 874 16 604 434 2462013 98 367 16 483 431 2122014 92 793 12 022 379 5922015 81 741 13 190 377 7572016 79 919 11 872 380 3002017 79 139 5 753 366 6002018 79 591 8 723 350 6002019 77 100 9 400 352 6002020 73 620 5 590 345 9002021 57 350 5 743 282 100 IBM s financial statements from 2021 annual report have adjusted revenue income numbers employee count for the previous years to account for discontinued operations related to the separation of Kyndryl For the fiscal year 2020 IBM reported earnings of 5 6 billion with an annual revenue of 73 6 billion IBM s revenue has fallen for 8 of the last 9 years 96 IBM s market capitalization was valued at over 127 billion as of April 2021 97 IBM ranked No 38 on the 2020 Fortune 500 rankings of the largest United States corporations by total revenue 98 In 2014 IBM was accused of using financial engineering to hit its quarterly earnings targets rather than investing for the longer term 99 100 101 Products and services EditSee also List of IBM products Blue Gene was awarded the National Medal of Technology and Innovation in 2009 IBM has a large and diverse portfolio of products and services As of 2016 update these offerings fall into the categories of cloud computing artificial intelligence commerce data and analytics Internet of things IoT 102 IT infrastructure mobile digital workplace 103 and cybersecurity 104 IBM Cloud includes infrastructure as a service IaaS software as a service SaaS and platform as a service PaaS offered through public private and hybrid cloud delivery models For instance the IBM Bluemix PaaS enables developers to quickly create complex websites on a pay as you go model IBM SoftLayer is a dedicated server managed hosting and cloud computing provider which in 2011 reported hosting more than 81 000 servers for more than 26 000 customers 105 IBM also provides Cloud Data Encryption Services ICDES using cryptographic splitting to secure customer data 106 IBM also hosts the industry wide cloud computing and mobile technologies conference InterConnect each year 107 Hardware designed by IBM for these categories include IBM s Power microprocessors which are employed inside many console gaming systems including Xbox 360 108 PlayStation 3 and Nintendo s Wii U 109 110 IBM Secure Blue is encryption hardware that can be built into microprocessors 111 and in 2014 the company revealed TrueNorth a neuromorphic CMOS integrated circuit and announced a 3 billion investment over the following five years to design a neural chip that mimics the human brain with 10 billion neurons and 100 trillion synapses but that uses just 1 kilowatt of power 112 In 2016 the company launched all flash arrays designed for small and midsized companies which includes software for data compression provisioning and snapshots across various systems 113 IT outsourcing also represents a major service provided by IBM with more than 60 data centers worldwide 114 alphaWorks is IBM s source for emerging software technologies and SPSS is a software package used for statistical analysis IBM s Kenexa suite provides employment and retention solutions buzzword and includes the BrassRing an applicant tracking system used by thousands of companies for recruiting 115 IBM also owns The Weather Company which provides weather forecasting and includes weather com and Weather Underground 116 Smarter Planet is an initiative that seeks to achieve economic growth near term efficiency sustainable development and societal progress 117 118 targeting opportunities such as smart grids 119 water management systems 120 solutions to traffic congestion 121 and greener buildings 122 Services provisions include Redbooks which are publicly available online books about best practices with IBM products and developerWorks a website for software developers and IT professionals with how to articles and tutorials as well as software downloads code samples discussion forums podcasts blogs wikis and other resources for developers and technical professionals 123 IBM Watson is a technology platform that uses natural language processing and machine learning to reveal insights from large amounts of unstructured data 124 Watson was debuted in 2011 on the American gameshow Jeopardy where it competed against champions Ken Jennings and Brad Rutter in a three game tournament and won Watson has since been applied to business healthcare developers and universities For example IBM has partnered with Memorial Sloan Kettering Cancer Center to assist with considering treatment options for oncology patients and for doing melanoma screenings 125 Also several companies have begun using Watson for call centers either replacing or assisting customer service agents 126 IBM Q System One 2019 the first circuit based commercial quantum computer In January 2019 IBM introduced its first commercial quantum computer IBM Q System One 127 IBM also provides infrastructure for the New York City Police Department through their IBM Cognos Analytics to perform data visualizations of CompStat crime data 128 In March 2020 it was announced that IBM will build the first quantum computer in Germany The computer should allow researchers to harness the technology without falling foul of the EU s increasingly assertive stance on data sovereignty 129 In May 2022 IBM announced the company had signed a multi year Strategic Collaboration Agreement with Amazon Web Services to make a wide variety of IBM software available as a service on AWS Marketplace Additionally the deal includes both companies to make joint investments that make it easier for companies to consume IBM s offering and integrate them with AWS including developer training and software development for select markets 130 In November 2022 the company came out with a chip called the 433 qubit Osprey Time called it the world s most powerful quantum processor and noted that if the processor s speed were represented in bits the number would be larger than the total number of atoms in the universe 131 In an effort to streamline its products and services beginning in the 1990s IBM has regularly sold off low margin assets while shifting its focus to higher value more profitable markets In 1991 the company spun off its printer and keyboard manufacturing division to Lexmark in 2005 it sold its personal computer ThinkPad ThinkCentre business to Lenovo in 2015 it adopted a fabless model with semiconductors design and offloaded manufacturing to GlobalFoundries in 2021 it spun off its managed infrastructure services unit into a new public company named Kyndryl 132 133 IBM also announced the acquisition of the enterprise software company Turbonomic for 1 5 Billion 134 and in 2022 it announced it would sell Watson Health to private equity firm Francisco Partners 135 Research Edit The Thomas J Watson Research Center in Yorktown Heights New York is one of 12 IBM research labs worldwide IBM Fellow Benoit Mandelbrot discusses fractal geometry 2010 Research has been part of IBM since its founding and its organized efforts trace their roots back to 1945 when the Watson Scientific Computing Laboratory was founded at Columbia University in New York City converting a renovated fraternity house on Manhattan s West Side into IBM s first laboratory Now IBM Research constitutes the largest industrial research organization in the world with 12 labs on 6 continents 136 IBM Research is headquartered at the Thomas J Watson Research Center in New York and facilities include the Almaden lab in California Austin lab in Texas Australia lab in Melbourne Brazil lab in Sao Paulo and Rio de Janeiro China lab in Beijing and Shanghai Ireland lab in Dublin Haifa lab in Israel India lab in Delhi and Bangalore Tokyo lab Zurichlab and Africa lab in Nairobi In terms of investment IBM s R amp D expenditure totals several billion dollars each year In 2012 that expenditure was approximately 6 9 billion 137 Recent allocations have included 1 billion to create a business unit for Watson in 2014 and 3 billion to create a next gen semiconductor along with 4 billion towards growing the company s strategic imperatives cloud analytics mobile security social in 2015 138 IBM has been a leading proponent of the Open Source Initiative and began supporting Linux in 1998 139 The company invests billions of dollars in services and software based on Linux through the IBM Linux Technology Center which includes over 300 Linux kernel developers 140 IBM has also released code under different open source licenses such as the platform independent software framework Eclipse worth approximately 40 million at the time of the donation 141 the three sentence International Components for Unicode ICU license and the Java based relational database management system RDBMS Apache Derby IBM s open source involvement has not been trouble free however see SCO v IBM Famous inventions and developments by IBM include the Automated teller machine ATM Dynamic random access memory DRAM the electronic keypunch the financial swap the floppy disk the hard disk drive the magnetic stripe card the relational database RISC the SABRE airline reservation system SQL the Universal Product Code UPC bar code and the virtual machine Additionally in 1990 company scientists used a scanning tunneling microscope to arrange 35 individual xenon atoms to spell out the company acronym marking the first structure assembled one atom at a time 142 A major part of IBM research is the generation of patents Since its first patent for a traffic signaling device IBM has been one of the world s most prolific patent sources In 2021 the company held the record for most patents generated by a business for 29 consecutive years for the achievement 10 Five IBM employees have received the Nobel Prize Leo Esaki of the Thomas J Watson Research Center in Yorktown Heights N Y in 1973 for work in semiconductors Gerd Binnig and Heinrich Rohrer of the Zurich Research Center in 1986 for the scanning tunneling microscope 143 and Georg Bednorz and Alex Muller also of Zurich in 1987 for research in superconductivity Six IBM employees have won the Turing Award including the first female recipient Frances E Allen 144 Ten National Medals of Technology USA and five National Medals of Science USA have been awarded to IBM employees Brand and reputation Edit IBM ads at John F Kennedy International Airport 2013 IBM is nicknamed Big Blue partly due to its blue logo and color scheme 145 146 and also in reference to its former de facto dress code of white shirts with blue suits 145 147 The company logo has undergone several changes over the years with its current 8 bar logo designed in 1972 by graphic designer Paul Rand 148 It was a general replacement for a 13 bar logo since period photocopiers did not render narrow as opposed to tall stripes well Aside from the logo IBM used Helvetica as a corporate typeface for 50 years until it was replaced in 2017 by the custom designed IBM Plex IBM has a valuable brand as a result of over 100 years of operations and marketing campaigns Since 1996 IBM has been the exclusive technology partner for the Masters Tournament one of the four major championships in professional golf with IBM creating the first Masters org 1996 the first course cam 1998 the first iPhone app with live streaming 2009 and first ever live 4K Ultra High Definition feed in the United States for a major sporting event 2016 149 As a result IBM CEO Ginni Rometty became the third female member of the Master s governing body the Augusta National Golf Club 150 IBM is also a major sponsor in professional tennis with engagements at the U S Open Wimbledon the Australian Open and the French Open 151 The company also sponsored the Olympic Games from 1960 to 2000 152 and the National Football League from 2003 to 2012 153 In 2012 IBM s brand was valued at 75 5 billion and ranked by Interbrand as the third best brand worldwide 154 That same year it was also ranked the top company for leaders Fortune the number two green company in the U S Newsweek 155 the second most respected company Barron s 156 the fifth most admired company Fortune the 18th most innovative company Fast Company and the number one in technology consulting and number two in outsourcing Vault 157 In 2015 Forbes ranked IBM as the fifth most valuable brand 158 and for 2020 the Drucker Institute named IBM the No 3 best managed company 159 During the 2022 Russian invasion of Ukraine IBM donated 250 000 to Polish Humanitarian Action and the same amount to People in Need Czech Republic 160 In ESG IBM reported Total CO2e emissions Direct Indirect for the twelve months ending 31 December 2020 at 621 Kt 324 34 3 y o y 161 In February 2021 IBM committed to achieve net zero greenhouse gas emissions by the year 2030 162 People and culture EditEmployees Edit See also List of IBM CEOs New IBM employees being welcomed to a bootcamp at IBM Austin 2015 Employees demonstrating IBM Watson capabilities in a Jeopardy exhibition match on campus 2011 IBM has one of the largest workforces in the world and employees at Big Blue are referred to as IBMers The company was among the first corporations to provide group life insurance 1934 survivor benefits 1935 training for women 1935 paid vacations 1937 and training for disabled people 1942 IBM hired its first black salesperson in 1946 and in 1952 CEO Thomas J Watson Jr published the company s first written equal opportunity policy letter one year before the U S Supreme Court decision in Brown vs Board of Education and 11 years before the Civil Rights Act of 1964 The Human Rights Campaign has rated IBM 100 on its index of gay friendliness every year since 2003 163 with IBM providing same sex partners of its employees with health benefits and an anti discrimination clause Additionally in 2005 IBM became the first major company in the world to formally commit to not using genetic information in employment decisions In 2017 IBM was named to Working Mother s 100 Best Companies List for the 32nd consecutive year 164 IBM has several leadership development and recognition programs to recognize employee potential and achievements For early career high potential employees IBM sponsors leadership development programs by discipline e g general management GMLDP human resources HRLDP finance FLDP Each year the company also selects 500 IBM employees for the IBM Corporate Service Corps CSC 165 which gives top employees a month to do humanitarian work abroad 32 For certain interns IBM also has a program called Extreme Blue that partners top business and technical students to develop high value technology and compete to present their business case to the company s CEO at internship s end 166 The company also has various designations for exceptional individual contributors such as Senior Technical Staff Member STSM Research Staff Member RSM Distinguished Engineer DE and Distinguished Designer DD 34 Prolific inventors can also achieve patent plateaus and earn the designation of Master Inventor The company s most prestigious designation is that of IBM Fellow Since 1963 the company names a handful of Fellows each year based on technical achievement Other programs recognize years of service such as the Quarter Century Club established in 1924 and sellers are eligible to join the Hundred Percent Club composed of IBM salesmen who meet their quotas convened in Atlantic City New Jersey Each year the company also selects 1 000 IBM employees annually to award the Best of IBM Award which includes an all expenses paid trip to the awards ceremony in an exotic location IBM s culture has evolved significantly over its century of operations In its early days a dark or gray suit white shirt and a sincere tie constituted the public uniform for IBM employees 167 During IBM s management transformation in the 1990s CEO Louis V Gerstner Jr relaxed these codes normalizing the dress and behavior of IBM employees 168 The company s culture has also given to different plays on the company acronym IBM with some saying it stands for I ve Been Moved due to relocations and layoffs 169 others saying it stands for I m By Myself pursuant to a prevalent work from anywhere norm 170 and others saying it stands for I m Being Mentored due to the company s open door policy and encouragement for mentoring at all levels 171 In terms of labor relations the company has traditionally resisted labor union organizing 172 although unions represent some IBM workers outside the United States 173 In Japan IBM employees also have an American football team complete with pro stadium cheerleaders and televised games competing in the Japanese X League as the Big Blue 174 In 2015 IBM started giving employees the option of choosing Mac as their primary work device next to the option of a PC or a Linux distribution 175 In 2016 IBM eliminated forced rankings and changed its annual performance review system to focus more on frequent feedback coaching and skills development 176 IBM alumni Edit Many IBM employees have achieved notability outside of work and after leaving IBM In business former IBM employees include Apple Inc CEO Tim Cook 177 former EDS CEO and politician Ross Perot Microsoft chairman John W Thompson SAP co founder Hasso Plattner Gartner founder Gideon Gartner Advanced Micro Devices AMD CEO Lisa Su 178 Cadence Design Systems CEO Anirudh Devgan 179 former Citizens Financial Group CEO Ellen Alemany former Yahoo chairman Alfred Amoroso former AT amp T CEO C Michael Armstrong former Xerox Corporation CEOs David T Kearns and G Richard Thoman 180 former Fair Isaac Corporation CEO Mark N Greene 181 Citrix Systems co founder Ed Iacobucci ASOS com chairman Brian McBride former Lenovo CEO Steve Ward and former Teradata CEO Kenneth Simonds In government alumna Patricia Roberts Harris served as United States Secretary of Housing and Urban Development the first African American woman to serve in the United States Cabinet 182 Samuel K Skinner served as U S Secretary of Transportation and as the White House Chief of Staff Alumni also include U S Senators Mack Mattingly and Thom Tillis Wisconsin governor Scott Walker 183 former U S Ambassadors Vincent Obsitnik Slovakia Arthur K Watson France and Thomas Watson Jr Soviet Union and former U S Representatives Todd Akin 184 Glenn Andrews Robert Garcia Katherine Harris 185 Amo Houghton Jim Ross Lightfoot Thomas J Manton Donald W Riegle Jr and Ed Zschau Other former IBM employees include NASA astronaut Michael J Massimino Canadian astronaut and former Governor General Julie Payette noted musician Dave Matthews 186 Harvey Mudd College president Maria Klawe Western Governors University president emeritus Robert Mendenhall former University of Kentucky president Lee T Todd Jr NFL referee Bill Carollo 187 former Rangers F C chairman John McClelland and recipient of the Nobel Prize in Literature J M Coetzee Thomas Watson Jr also served as the 11th national president of the Boy Scouts of America Board and shareholders Edit The company s 15 member board of directors are responsible for overall corporate management and includes the current or former CEOs of Anthem Dow Chemical Johnson and Johnson Royal Dutch Shell UPS and Vanguard as well as the presidents of Cornell University and Rensselaer Polytechnic Institute and a retired U S Navy admiral 188 In 2011 IBM became the first technology company Warren Buffett s holding company Berkshire Hathaway invested in 189 Initially he bought 64 million shares costing 10 5 billion Over the years Buffet increased his IBM holdings but by the end of 2017 had reduced them by 94 5 to 2 05 million shares by May 2018 he was completely out of IBM 190 See also Edit Companies portalList of electronics brands List of largest Internet companies List of largest manufacturing companies by revenue Tech companies in the New York City metropolitan region Top 100 US Federal ContractorsReferences Edit a b Certificate of 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Warren Buffett says Berkshire Hathaway has sold completely out of IBM CNBC Archived from the original on May 4 2018 Retrieved May 4 2018 Further reading EditFor additional books about IBM biographies memoirs technology and more see History of IBM Further reading Bakis Henry 1987 Telecommunications and the Global Firm In F E Ian Hamilton ed Industrial change in advanced economies London Croom Helm pp 130 160 ISBN 9780709938286 Bauer Roy A et al 1992 The Silverlake Project Transformation at IBM AS 400 Oxford University Press Black Edwin 2001 IBM and the Holocaust The Strategic Alliance Between Nazi Germany and America s Most Powerful Corporation ISBN 0 914153 10 2 Carroll Paul 1993 Big Blues The Unmaking of IBM Crown Publishers ISBN 9780517591970 Garr Doug 1999 IBM Redux Lou Gerstner amp The Business Turnaround of the Decade Harper Business Gerstner Louis V Jr 2002 Who Says Elephants can t Dance HarperCollins ISBN 0 00 715448 8 Greulich Peter E 2014 A View from Beneath the Dancing Elephant Rediscovering IBM s Corporate Constitution MBI Concepts Corporation ISBN 978 0 9833734 6 9 Harwood John 2011 The Interface IBM and the Transformation of Corporate Design 1945 1976 ISBN 978 0 8166 7039 0 Heller Robert 1994 The Fate of IBM Little Brown Mercer David 1987 IBM How the World s Most Successful Corporation is Managed Kogan Page Mercer David 1988 The Global IBM Leadership in Multinational Management Dodd Mead p 374 ISBN 9780396092599 Mills D Quinn Friesen G Bruce 1996 Broken Promises An Unconventional View of What Went Wrong at IBM Harvard Business School ISBN 0 87584 654 8 Pugh Emerson W 1996 Building IBM Shaping an Industry MIT Press Slater Robert 1999 Saving Big Blue IBM s Lou Gerstner McGraw Hill Steinhilper Ulrich 2006 Don t Talk Do It From Flying To Word Processing ISBN 1 872836 75 5 von Simson Ernest 2009 The Limits of Strategy Lessons in Leadership from the Computer Industry iUniverse ISBN 978 1 4401 9258 6 Watson Thomas Jr 1990 Father Son amp Co My Life at IBM and Beyond ISBN 0 553 29023 1 External links EditIBM at Wikipedia s sister projects Definitions from Wiktionary Media from Commons News from Wikinews Quotations from Wikiquote Texts from Wikisource Textbooks from Wikibooks Resources from Wikiversity Official website IBM companies grouped at OpenCorporates Business data for IBM GoogleSEC filingsYahoo Retrieved from https en wikipedia org w index php title IBM amp oldid 1138756308, wikipedia, wiki, book, books, library,

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