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Report fires 10,000 people in the EU as IBM moves to hybrid cloud – TechCrunch

Bloomberg reported this morning that it would cut about 10,000 jobs in Europe as IBM drastically changed its strategy. This follows last month’s announcement that the organization will spin out its infrastructure services business next year. IBM did not confirm the severance, but a spokesperson suggested that the company had a wide range of structural changes as it was completely focused on the hybrid cloud approach.

IBM In response to a request for comment on the Bloomberg Report, he said: “Our staffing decisions are made to provide our customers with the best support in adopting the open hybrid cloud platform and AI capabilities, and for IBM employees to best meet their needs. We continue to invest heavily in our training and skills development. “

Unfortunately, this basically means that if you don’t currently have the required skill set, it may not be compatible with the new version of IBM. IBM CEO Arvind Krishna hinted at a change in the environment in an interview with Jon Fortt at the CNBC Evolve Summit earlier this month.

The acquisition of Red Hat provides a technology base for building a hybrid cloud technology platform based on open source. It is also based on providing clients with choices when embarking on this journey. With the success of this acquisition, we now have fuel, and as a next step, and even bigger, we can remove managed infrastructure services. Therefore, the rest of the company can fully focus on hybrid cloud and artificial intelligence.

Analyst Holger Mueller has always said that IBM’s layoffs need to eliminate positions that don’t fit the new vision when moving to a new model, and today’s report is clearly the same. It states that. At Constellation Research.

“IBM has undergone the greatest transformation in the history of the company as it uses Quantum to move from services to software to specialized hardware. A combination is needed, and the impact is reflected in the layoffs that IBM has been doing almost quietly over the past five years, “he said.

This is not easy for the people involved. Losing a job is never a good time, but it feels worse. It’s especially difficult because it’s in the midst of a recession caused by COVID and a second wave of viruses is sweeping Europe.

Reported on IBM’s layoffs over the last five years. He confirmed the temporary dismissal in May, but did not confirm the number. In 2015, we reported on the temporary dismissal of 12,000 employees.

Report fires 10,000 people in the EU as IBM moves to hybrid cloud – TechCrunch

Source link Report fires 10,000 people in the EU as IBM moves to hybrid cloud – TechCrunch

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