IBM sales fell 12 percent

Despite the fact that the company released a new z13 mainframe, over the last quarter, sales of the company fell by 12% to $ 19.6 billion. At the same time, profits fell by 5% to $ 2.4 billion.

Two thirds of the company's revenues come from abroad, and the appreciation of the dollar had a negative effect on financial results. IBM argues that if we take into account currency fluctuations, as well as the results of recent sales of corporate units, sales would not change compared to last year.

Problems IBM delivers a hardware business that is managed by Systems Hardware. Revenue in it fell by 22.6%, reaching $ 1.7 billion. It fell due to the fact that the company sold Lenovo its large business to produce low-cost servers on the x86 architecture, focusing on more profitable mainframes.
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Recently, IBM has been selling its low-profit units and is trying to invest in strategic areas that the company considers cloud systems, analytics and mobile technologies. Income from these areas compared to last year increased by 20%.