IBM buys software company Red Hat for $46b

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International Business Machines (IBM) said on Tuesday it has closed its US$34 billion (S$46 billion) acquisition of software company Red Hat, as it looks to ramp up its cloud computing business. Underscoring the drive into high-margin businesses, IBM in October agreed to...

International Business Machines said on Tuesday it has closed its US$34 billion acquisition of software company Red Hat, as it looks to ramp up its cloud computing business.

Underscoring the drive into high-margin businesses, IBM in October agreed to buy Red Hat, the company's biggest acquisition in its more than 100-year history. Ms Ginni Rometty, IBM chief executive since 2012, has steered the company toward faster-growing segments such as cloud, software and services and away from traditional hardware products, but not without a bumpy journey.In an interview, Ms Rometty said the deal was driven by what its customers wanted and helping companies"move mission-critical work" to the cloud, offering a variety of hybrid public and private clouds.

 

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