Seven Reasons Why Enterprises Trust IBM Software

Recently IBM announced that it would be backing Spark in it’s effort to embrace and promote Open Source. At this, technology entrepreneur and co-founder of the venture capital firm Andreessen Horowitz, Ben Horowitz said, “It’s like Spark just got blessed by the enterprise rabbi.” So this is the position that IBM commands as it stands as a technology company supporting it’s clients for over a century. In this blog I will share Seven reasons why  major corporations around the world rely heavily on IBM for critical services and solutions.


1. Innovation: Once IBM’s CEO asked one of top Indian Telco customer to describe IBM in one word. They immediately said – Innovation. Innovation is in IBMers DNA. Watson is just an illustration of IBM’s innovative prowess which demolished human competitors in a highly touted series of Jeopardy! games. IBM has been the top position in number of inventions for more than two decades now. You can read some notable inventions hereFrom eWeek: “IBM might be, at heart, an old school, enterprise-focused company, but it also keep coming up with innovative ideas, including artificial intelligence, supercomputing and the role of the mainframe in cloud computing. The company’s Watson invention is one of the most important it’s brought to the public in some time, and its work on capturing and analyzing big data to make it actionable in a corporate environment could have a positive effect on the world for decades to come.”

2. Understands Customers Needs: Management expert (and author of books such as Built to Last) Jim Collins says, “If you consider what IBM’s mission is, it’s not about computers or technology. It’s about allowing its individual employees to create ways for its customers to solve operational problems. Whether that’s a task best done with scales, typewriters or computers doesn’t matter; what matters is that customers’ needs are answered.” IBM understands the business of Enterprises and so is the market Leader the Gartner’s Magic quadrant in almost any technology area.

3. Spread Across Geographies: IBM has it’s offices in over 170 countries making it easy to reach an executive to get a demo or a quick help. In my induction to IBM 13 years back I was told that it is one  the top three most popular brand name around the world!

4. Trust: Which of the company can an Enterprise trust that will last for the next decade? Will it be acquired by another company and with its fate unknown? IBM has managed to have organic growth to survive 10 decades. Nobody will ever complete a leveraged buy out of IBM. When a company is looking for important solutions in key areas such as infrastructure software or security, the vendor’s reputation and trustworthiness are crucial considerations. There is an old saying in the industry: “Nobody ever got fired for buying IBM.”

5. Big Pockets: Why IBM is a Leader in most of Gartner’s magic quadrants? You guessed it. Either it innovates to be there or it acquires the company which is there. Mobile and Cloud solutions market are on rise and IBM is ready with $4 billion investment in these areas. Hardware operations lost half a billion dollars in 2013 due to large shifts in the commodity hardware market. For most companies, that sort of loss would spell the end, but given that IBMs big pocket, the management team is simply transitioning the business through this change cycle.

6. Experience: IBM survived several recessions, technological shifts and intense competition and demonstrated a strength shared by most 100-year-old companies: the ability to learn and change. For example,  many enterprises are now joining the band wagon of big data,  whereas IBM’s InfoSphere Information Server has over a decade of experience in big data movement and data governance. You may watch this video that captures IBM’s 100 years of experience that changed the world.

ibm7. Stack Integration: The one advantage you get with IBM is that IBM does everything – from silicon to solutions (end-to-end). Morningstar analyst Peter Wahlstrom says, “IBM holds a defensible position in enterprise software, services and hardware. While each of these businesses is an industry leader in its own right, the combination of these products and services provides the firm with a unique solution creation perspective and delivery ability that is key to its wide economic moat.“‘

I hope this would have been an interesting read – specially when it comes from an IBM developer who had been developing market leading software since over a decade.

Disclaimer: The postings on this site are my own and don’t necessarily represent IBM’s positions, strategies or opinions


6 thoughts on “Seven Reasons Why Enterprises Trust IBM Software

  1. “Nobody ever got fired for buying IBM.” may have been quoted in the wrong context. The message I deduces from the quote is if a fund manager or a fund analyst won’t get fired if he/she adds IBM to their fund portfolio even if IBM stock does not perform well. If the same fund manager chose a different less known publicly traded company, and if that company did not perform well, the manager’s wisdom has a higher chance of getting questioned..and maybe fired

    • Hi Chintu,
      I did a good research before this particular blog as I am more into technical side and this is not really my cup of tea. So the quotation is cited in correct context. You may google on this quote and the first three results will assert my point.
      Thank you for your comment and for taking time to read.

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