International Business Machines Corp. (NYSE:IBM) is currently going through some issues in its Cloud domain. The company has appointed a new head of Cloud and he believes that International Business Machines Corp. (NYSE:IBM) is in a massive competition from other Cloud players like Microsoft and Amazon. He also thinks that Hybrid Cloud is the future and IBM is deeply focused on that. But an article on Info World said that layoffs and management changes are not the solutions to the International Business Machines Corp. (NYSE:IBM) Cloud problem. The source said that International Business Machines Corp. (NYSE:IBM)’s on-premise services for Cloud are on of its primary source of revenue and customer base. The company is now trying to make a focus on public Cloud. This would cannibalize its established on-premise Cloud domain.
The source also said that International Business Machines Corp. (NYSE:IBM) is making a big mistake by appointing people from its own organizational hierarchy. The company must hire new people, preferably get the talent from Amazon and Microsoft. However, IBM has still strong collaborators and partners in the hybrid Cloud domains. International Business Machines Corp. (NYSE:IBM) must find the most optimized way to kick-start its public Cloud endeavors and at the same time, not hurting its existing on-premise Cloud services.
The newly appointed Cloud head in International Business Machines Corp. (NYSE:IBM), Robert LeBlanc has 33 years of experience. He has worked in WebSphere Middleware and other hybrid Cloud platforms. He is also well aware of the rapidly changing Cloud market. LeBlanc said that International Business Machines Corp. (NYSE:IBM) has established 40 data centers in more than 15 countries. This depicts company’s objectivity and resolution to serve the customers at its best.
Warren Buffett’s Berkshire Hathaway hold around 70 million International Business Machines Corp. (NYSE:IBM) shares.
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