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IBM intends to fight the decline in demand for mainframe

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June 12, 2020
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IBM intends to fight the decline in demand for mainframe
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IBM intends to fight the decline in demand for manramasn Saveliev | 21.06.2019

IBM намерен бороться с снижением спроса на мэйнфрейм

IBM will buy Red Hat for $ 34 billion. This will help it to expand its offers software on a subscription basis and to counter the slowdown in their sales. The company also expects
that such a move would strengthen its position in the struggle with the decline in demand for the mainframe.

In addition, there is an opportunity to strengthen the direction of IBM cloud and to catch up with Amazon, Google and Microsoft.

We remind you that Red Hat is an American company that makes decisions based on the free operating system Linux. In its latest financial report for the first quarter of this year, she
showed total income of 934 million U.S. dollars, which is 15 percent more than in the previous year.

The net profit of Red Hat for the quarter amounted to 141 million dollars, or 0.76 dollars per share.

IBM plans to keep the company independent unit.

“Cloud detail” of this transaction – OpenShift. This is how Red Hat is going to create a hybrid cloud. No matter how she loved Linux, in the cloud IBM and Red Hat see their future profits.

The European Commission will announce its decision on the deal until June 27, U.S. regulators have reacted positively and did not require any concessions.

IBM declined to comment.

 

Cloud buy companies

Journal: Journal IT-News, Subscription to magazines

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