International Business Machines Corporation - IBM STOCK NEWS

Kyndryl has successfully completed its spin-off from IBM and is now trading independently on the NYSE under the ticker KD. With a workforce of 90,000, Kyndryl is positioned as the largest IT infrastructure services provider, expecting a market growth exceeding $500 billion by 2024. The company boasts $19 billion in annual revenue and strong customer relationships, including 75% of the Fortune 100. IBM shareholders received Kyndryl shares in a 1:5 ratio, with IBM retaining 19.9% equity in Kyndryl.

IBM has successfully completed the separation of its managed infrastructure services business, Kyndryl, which will start trading on the New York Stock Exchange as "KD" on November 4, 2021. Shareholders of IBM will receive one share of Kyndryl for every five shares of IBM held as of October 25, 2021. IBM retains 19.9% of Kyndryl's shares, planning to exchange them for IBM debt within a year. This decision aligns with IBM's strategy to focus on hybrid cloud and AI to achieve growth objectives, according to CEO Arvind Krishna.

IBM (NYSE: IBM) announced plans to acquire ReaQta to enhance its cybersecurity offerings, particularly in the extended detection and response (XDR) market. This acquisition aims to integrate ReaQta's AI-driven endpoint security solutions into IBM's QRadar XDR suite, allowing for improved threat detection and response across hybrid cloud environments. As cyber threats grow in complexity, this strategic move positions IBM to provide better security automation and response capabilities. Financial terms of the deal were not disclosed, with closure expected later this year.

IBM's global study reveals a major shift towards hybrid cloud solutions, with only 3% of executives using a single cloud in 2021, down from 29% in 2019. Conducted by the IBM Institute for Business Value and Oxford Economics, the survey of nearly 7,200 C-suite executives highlights escalating cyber threats, with over a third not prioritizing cybersecurity. Additionally, 79% of participants emphasize the importance of avoiding vendor lock-in. The study stresses the need for improved security, governance, and compliance tools across multi-cloud architectures to enable successful digital transformations.

IBM announced new collaborations at the Mobile World Congress Los Angeles, focusing on hybrid cloud, AI, network automation, and security. Key partnerships include Boston Dynamics for edge data analytics, Cisco for 5G network orchestration, and Palo Alto Networks for 5G security solutions. A study highlighted that 59% of high-performing Communication Service Providers (CSPs) recognize the need for AI and automation. IBM continues to support CSPs in adopting advanced technologies, enhancing operational efficiency, and driving new revenue opportunities in 5G and edge computing.

Samsung Electronics and IBM have launched the Call for Code Honoring Everyday Heroes Challenge, aimed at encouraging developers to create innovative solutions for essential workers impacted by the Covid-19 pandemic. The challenge, unveiled at the Samsung Developer Conference, invites applications that utilize IBM's cloud technologies and can run on Samsung devices. Submissions close on November 20, with the winner announced on December 9. The winning entry will receive a cash prize, Samsung devices, and deployment support. This initiative is part of a long-standing partnership between the two companies.

The IBM board has declared a quarterly cash dividend of $1.64 per common share, payable on December 10, 2021, to stockholders of record as of November 10, 2021. This represents the first dividend after the anticipated separation of Kyndryl on November 3, 2021. IBM has maintained a consistent dividend payment record since 1916, reinforcing its commitment to returning value to shareholders.

IBM and Crédit Mutuel have strengthened their strategic partnership by signing the AmbitionS contract, aimed at enhancing collaboration over the next four years. Key objectives include the acceleration of data, AI, and document analysis to improve services and security, the transformation of the information system into a unified private cloud platform leveraging Red Hat OpenShift, and the creation of a technology and skills center in Strasbourg focused on AI, data cloud, and infrastructure modernization. This initiative targets improved operational efficiency and digital services for 27 million customers.

According to a new global consumer study by IBM, respondents are showing increased optimism for the 2021 holiday season compared to 2020, with a 30% year-over-year increase in holiday shopping budgets. However, concerns about COVID-19 persist, with 75% of respondents worried about new variants. Holiday shopping budgets remain 13% lower than 2019 levels. A notable shift towards online shopping continues, with 43% planning to shop online versus 36% in physical stores. Additionally, travel budgets are rebounding, increasing 43% year-over-year, indicating a potential recovery in holiday travel spending.