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IBM will cut 10000 jobs and consider selling its IT business in Europe

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 IBM is a world-renowned brand, providing enterprise users with a diversified combination of cloud and hardware solutions. But the tech giant also faces unforeseen economic losses associated with the pandemic.



Many actions have been taken to reduce the financial impact of the crisis on IBM, mainly involving restructuring and cost reduction. In early October, we learned that various options were being considered, including the option to sell assets.


Now we have more details about IBM's strategic plan to reduce 10000 employees in continental Europe. At the same time, they are preparing to sell their IT business in the region, which will generate $2.3 billion in revenue in the fourth quarter, according to Bloomberg.


These actions are expected to support and expand IBM's influence in the field of hybrid computer systems and cloud platforms with artificial intelligence. New job cuts in Europe have not been formally confirmed.


However, the company's workers in the UK and Germany are expected to be the most affected. These teams provide round the clock customer support and data center, including equipment installation, operation, recovery and integration.

IBM's structural changes are likely to continue into 2021 and may even cover the technology giant's operations in other regions. The huge competition from large capital brands such as Amazon is the main reason for IBM's modern cloud computing system problems.

Oddly enough, the company does not like to formally publish details of planned layoffs in its business units, which is one of the small exceptions. The measures prepared will take effect immediately and will be completed by the end of the first quarter of 2021.


In the next few quarters, dividing the business unit into independent companies will continue to be a fixed item in IBM's business strategy.

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