IBM to cut 3,900 jobs as it reorganizes business

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IBM will slash some 3,900 jobs, slightly more than one percent of its workforce, related to businesses it has divested

IBM, founded in 1911, announced late last year that it would invest $20 billion in semiconductors, quantum computing and other cutting-edge technology.

The computing company based in New York state did not talk of job cuts in its quarterly earnings report published on Wednesday, however, nor in a call with analysts to discuss the financial results. This cost is "entirely related" to the spin-off of Kyndryl and the disposal of health data and analysis businesses, an IBM spokesperson told AFP news agency.The more than century-old technology firm reported a profit of $2.9 billion in the final three months of last year, some 17 percent higher than the same period in 2021 despite revenue remaining flat at $16.7 billion.

Krishna unveiled the spending, which will take place over a decade, in a speech alongside US President Joe Biden in the tech giant's Poughkeepsie facility.

 

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