IBM hopes big data, cloud computing boosts performance growth

The March 11 News, according to foreign media reports, in order to gain greater space for growth, IBM on large data, cloud computing and real-time communications high hopes. This is what IBM said in its 2013 annual report.

Ginni Rometty, IBM's chief executive, said in a letter to shareholders that "demand for large data, cloud computing and mobility requires enterprise-level computing, and other companies are not comparable to IBM in developing these key technologies" (Rometty). ”

Technology giants such as Intel and pivotal also expect cloud computing and big data to help boost business growth, not to mention mobile and social programs. IBM adjusts the software and hardware business to better adapt to new market demands. For example, businesses and other organizations are increasingly using public cloud services to handle business, but at the same time reducing the procurement of standard servers to companies such as Dell and IBM. The cloud service provider will purchase a large number of servers from the less well-known vendors such as Quanta. IBM is aware of this trend and recently successfully stripped down the low-end server product line.

For IBM, hardware is still an area that needs to be improved. Rometty called hardware one of IBM's two big challenges. Another big challenge for IBM is growth in some high-growth markets. Some have questioned whether IBM will phase out all of its hardware business and focus on software, but that is unlikely-at least in the short term. Rometty wrote, "I would clarify that we will not quit the hardware business, IBM is still the leader in High-performance and high-end systems, storage, perceptual computing, and we will continue to invest in advanced semiconductor technology." "IBM recently invested $1 billion in high-speed flash storage and invested $1 billion in Linux and power BAE servers." IBM cannot easily abandon these plans. IBM's total revenue continues to grow despite recent declines in hardware business revenues. IBM said it would tilt to a high-margin business and deliver a 20 dollar promise of earnings per share next year through repo shares. IBM earned 16.28 dollars per share in 2013.

IBM has been aggressively developing cloud computing operations, such as increasing investment in SoftLayer and Watson's super computer technology. Deals, including the recent acquisition of Cloudant, will make it easier for customers to choose IBM's cloud computing services. IBM, which employs more than 400,000 of its staff, has a large business that makes it difficult to co-ordinate operations, so it is the industry's concern how IBM makes the business work in harmony.

(Responsible editor: The good of the Legacy)