International Business Machines Corp Stock Price, News & Analysis

IBM released the 'AI in Action' report based on a survey of 2,000 companies across five countries, identifying key characteristics of AI Leaders - the top 15% of businesses effectively leveraging AI. The study reveals that two-thirds of AI Leaders reported 25%+ improvement in revenue growth rate. Four key differentiators emerged: 71% of Leaders make aggressive AI investments, 61% show confidence in data management, 72% demonstrate C-suite-IT alignment, and Leaders are twice as likely to customize AI solutions effectively. The research was conducted by Harris Poll among large companies with >$500M revenue or >1,000 employees.

IBM has announced a multi-year partnership with Scuderia Ferrari HP as their official Fan Engagement and Data Analytics Partner starting in 2025. The collaboration will focus on developing a reimagined mobile app featuring personalized content and innovative features powered by IBM's technology and data analytics expertise. The partnership aims to enhance fan experience by analyzing Ferrari's current and historical data to deliver custom insights. IBM will also provide cutting-edge technology to increase speed and production efficiency. This alliance joins IBM's portfolio of sports partnerships, including Wimbledon, US Open, and Masters Tournament.

IBM has declared a regular quarterly cash dividend of $1.67 per common share, payable on December 10, 2024 to stockholders of record as of November 12, 2024. This announcement maintains IBM's remarkable track record of paying consecutive quarterly dividends since 1916, demonstrating over a century of consistent shareholder returns.

IBM has announced plans to collaborate with universities to provide education on generative AI and AI career readiness. The initiative aims to educate 2 million people worldwide about AI by the end of 2026. The company will expand its IBM SkillsBuild platform, which offers free courses on various technology topics.

IBM announced the integration of Apptio's portfolio of enterprise agile planning, IT financial management, and cloud FinOps solutions with Microsoft Azure. The company is also expanding its software availability on the Azure Marketplace to 14 additional countries. IBM Targetprocess, now available on Azure Marketplace, helps manage budgets and align workforces across technology priorities while integrating with Azure DevOps. Microsoft will adopt Apptio's capabilities in parts of their organization. IBM plans to make Apptio Costing and Planning available in Q4 2024 and Cloudability available in the coming year.

Artificial intelligence has captured the imagination of corporate leaders eager to implement new tech solutions. However, AI's potential extends to broader and more complex problems, particularly in education. This vision is gradually becoming a reality, as AI is already enhancing student learning, creating new career pathways, and aligning today's education with tomorrow's jobs.

IBM is at the forefront of this transformation, leveraging AI to revolutionize educational systems. The technology is being used to personalize learning experiences, making education more accessible and effective. This initiative aims to prepare students for future job markets, ensuring they acquire the skills needed for emerging industries.

IBM announced that its Envizi ESG Suite has received FedRAMP authorization, making it available to federal agencies through the FedRAMP Marketplace. The solution creates a single, trusted system for ESG data management, helping organizations automate data capture, analysis, and reporting.

With the federal government managing over 300,000 buildings, 4 million employees, and $700 billion in annual purchases, this authorization comes at a important time as agencies face increasing pressure for transparent ESG reporting. The Envizi suite aims to address challenges like poor data quality and fragmentation by automating collection processes and streamlining reporting workflows.

IBM reported Q3 2024 revenue of $15.0 billion, up 1% (2% at constant currency), driven by Software revenue growth of 10%. The company's generative AI business reached $3 billion, increasing by $1 billion quarter-over-quarter. Gross profit margin improved to 56.3% GAAP (up 190 basis points) and 57.5% Operating Non-GAAP (up 210 basis points). Software segment now represents nearly 45% of total revenue. The company maintains its full-year free cash flow guidance of over $12 billion, with Q4 revenue growth expected to be consistent with Q3.

IBM has introduced the IBM Guardium Data Security Center, a unified SaaS-first solution designed to enhance data security across hybrid cloud, AI, and quantum environments. This new software offers a comprehensive view of data assets, enabling security teams to integrate workflows and manage data monitoring, governance, detection, response, and cryptography through a single dashboard. Key features include IBM Guardium AI Security to protect AI deployments and IBM Guardium Quantum Safe to safeguard encrypted data from quantum cyberattacks. These tools leverage IBM Research's post-quantum cryptography algorithms, recently standardized by NIST, and are integrated with IBM watsonx and other AI SaaS providers. IBM also announced the addition of decentralized identity features to its Verify portfolio, allowing users to manage digital credentials securely.