About IBM PDF

IBM Corporation
About IBM
A Corporate Overview
Updated January 2003 © 2003 IBM Corporation

IBM Corporation
What is IBM?
An innovator?
A sales force?
A collection of vertically integrated

multibillion-dollar global businesses?
A global brand?
A blue-chip stock?
A turnaround story?
A really big company?
All of the above?
2 About IBM | A Corporate Overview | Updated January 2003 © 2003 IBM Corporation
IBM Corporation
Mission
We strive to lead in the creation,

development and manufacture of the
industry’s most advanced information
technologies.
We translate these advanced

technologies into value for our customers
through our professional solutions and
services businesses worldwide.
IBM Corporation
IBM History
Incorporated in 1911 as the Computing-Tabulating-Recording

Company (C-T-R)
In 1924, C-T-R became International Business Machines

Corporation
1910s-60s:
– From punch-card tabulating machines to room-sized calculators
to mainframe computing systems for large enterprises
– Changed the nature of accounting, calculation, and basic
back-office business processes
IBM Corporation
IBM History
1970s-80s
– IBM product line broadens from mainframes to
minicomputers and personal computers
– Applications move beyond back-office enterprise to
departmental operations and personal productivity
1990s
– With the Internet and open standards, the network
computing model is embraced and advanced
– Coined “e-business” to describe how network computing
can transform core business functions and transactions
IBM Corporation
IBM Today
The world’s largest information technology company
The 8th largest corporation in the world
Year end 2001, IBM reported:
– $85.9 billion in revenue
– $7.7 billion in net income
– More than 310,000 employees worldwide
– More than 670,000 stockholders of record
IBM Corporation
A Global Company
Corporate headquarters: Armonk, NY
Operations in more than 160 countries worldwide
Nearly 60 percent of revenue generated outside the United States
IBM Corporation
Senior Management
Samuel J. Palmisano
Chairman, President and CEO
IBM Corporation
Board of Directors
Cathleen Black Samuel J. Palmisano
President, Hearst Magazines Chairman, President and CEO, IBM
Kenneth I. Chenault John B. Slaughter

Chairman and CEO, American Express Co. President and CEO, National
Action Council for Minorities in
Juergen Dormann Engineering, Inc.
Chairman of the Board, President and CEO
ABB Ltd. Sidney Taurel
Chairman of the Board,
Nannerl O. Keohane President & CEO, Eli Lilly and Co.
President, Duke University
Alex Trotman
Charles F. Knight Chairman
Chairman of the Board, Emerson Electric Co. Imperial Chemical Industries PLC
Minoru Makihara Charles M. Vest

Chairman, Mitsubishi Corp. President, MIT
Lucio A. Noto
Managing Partner
Midstream Partners LLC
IBM Corporation
The IT Industry
IBM Corporation
The IT Industry: Eras of Computing
Network Era
Integration
12
Client/Server Era
Departmental Automation
8
Mainframe Era
Back Office Automation;
4 Transaction Processing
0
1960 1970 1980 1990 2000
Source: U.S. Department of Commerce, Sept. 2000

2000/2001/1H02 Estimates
IBM Corporation
The IT Industry: Landscape Today
IBM Corporation
Business Value
Infrastructure Value
IT Industry
Component Value
IBM Corporation
Services and software to

Business Value improve business performance
Hardware, software and services

Infrastructure Value integrated into a computing
environment
Component Value Technology components
IBM Corporation
Services and software to

Business Value improve business performance
Innovation Value
Hardware, software and services

Infrastructure Value integrated into a computing
environment
Component Value Technology components
IBM Corporation
Services
Business Value Financing
Innovation Value
Hardware
Research
Infrastructure Value Software
Services
Component Value Technology
IBM Corporation
Business Operations
Services
Financing
Hardware
Software
Technology
Research
IBM Corporation
Business Operations
Services World’s largest business and technology services provider

Financing $35 billion in revenue
Hardware More than 175,000 employees
Software
Technology Helps customers:
Research Capitalize on IT to improve business performance
Manage IT operations and resources
Principal lines of business:

Business Consulting Services
Integrated Technology Services
Strategic Outsourcing Services
Learning Services
IBM Corporation
Business Operations
Services World’s leading provider of financing and asset management

Financing
services to companies selling or acquiring IT
Hardware Nearly $37 billion in assets
Software
Operations in more than 40 countries
Technology
Research Offers flexible leasing and financing solutions to customers
and business partners
Customer Financing – Total Solution Financing
Commercial Financing
Global Asset Recovery Services
IBM Corporation
Business Operations
Servers
Services #1 server vendor in the world
Financing
Offers the broadest range of servers in the industry
Hardware
Software
Intel-processor-based servers
Technology UNIX systems
Research Integrated application servers
Mainframes
Blade servers
Strong supporter of open standards

IBM is the #1 Linux server vendor in the world
IBM Corporation
Business Operations
Enterprise Storage
Services Most comprehensive range of storage offerings
Financing
Disk, Tape, Middleware, Database, ISV applications,
Hardware Services and Financing
Software
Gained more market share than Top 10 disk storage
Technology
suppliers in 2001, according to Gartner Dataquest
Research
Ranked #2 in external RAID storage and #2 in
SAN-attached disk storage, according to IDC
Creating foundation for new autonomic storage model

Storage tank, Virtualization, Policy-based management
tools
#1 Storage Services provider in the industry
IBM Corporation
Business Operations
Personal and Printing Systems
Services Personal Computing
Financing
Hardware
ThinkPad, NetVista, monitors and options
Software
Printing Systems
Technology
Research Printers, software, consulting, systems integration,
supplies, service and support
Retail Store Solutions
Point-of-sale systems, kiosks and peripheral devices
IBM Corporation
Business Operations
Services Develops, markets and supports a diverse set of software

Financing
Provides foundation for the world’s critical business
Hardware applications
Software World’s second largest software provider
Technology $13 billion in revenue
Research More than 30,000 employees
Largest supplier of Internet infrastructure software –
“middleware”
Systems integration and transaction processing
Data management
Collaboration and “dynamic workplaces”
Systems management and security
IBM Corporation
Business Operations
Services Develops, manufactures, sells, and provides services for

Financing leading chip and hard disk drive technologies
Hardware Incorporated into:
Software
IBM products
Technology
Research OEM customers’ products
Focuses on technologies for the pervasive, network

infrastructure and enterprise computing spaces
Leading producer of custom-designed chips (ASICs)
Key technology supplier to customers like Cisco,
Qualcomm, Sony and Nintendo
IBM Corporation
Business Operations
Services World’s largest IT research organization

Financing
More than 3,000 scientists and engineers
Hardware
Software 8 research laboratories and 24 development
laboratories worldwide
Technology
Research Produces more breakthroughs than any other company
Received a record 3,288 U.S. patents in 2002
The 10th consecutive year leading all companies in

U.S. patents
Work ranges from physics to cognitive science to

leading-edge application research
IBM Corporation
Business Operations
Percent of IBM’s Total Revenue in 2001
15% 4%
Services
1%
Hardware
Software
41%
Financing 39%
Enterprise
Investments/Other
Source: 2001 IBM Annual Report
IBM Corporation
IBM Business Consulting Services

Business Value IBM Global Financing
Innovation Value
IBM Global Services

Personal and Printing Systems Group
IBM Research Infrastructure Value Server Group
Software Group
Storage Systems Group
Component Value Technology Group
IBM Corporation
Mission
We strive to lead in the creation,

development and manufacture of the
industry’s most advanced information
technologies.
We translate these advanced

technologies into value for our customers
through our professional solutions and
services businesses worldwide.
IBM Corporation
IBM Corporation
About IBM
A Corporate Overview
Updated January 2003 © 2003 IBM Corporation

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IBM Corporation

Updated January 2003 © 2003 IBM Corporation

A collection of vertically integrated

A really big company?

All of the above?

We strive to lead in the creation,

We translate these advanced

 Incorporated in 1911 as the Computing-Tabulating-Recording

 In 1924, C-T-R became International Business Machines

 The world’s largest information technology company

 The 8th largest corporation in the world

 Year end 2001, IBM reported:

– $85.9 billion in revenue

– $7.7 billion in net income

– More than 310,000 employees worldwide

– More than 670,000 stockholders of record

 Corporate headquarters: Armonk, NY

 Operations in more than 160 countries worldwide

 Nearly 60 percent of revenue generated outside the United States

Kenneth I. Chenault John B. Slaughter

Minoru Makihara Charles M. Vest

The IT Industry: Eras of Computing

Source: U.S. Department of Commerce, Sept. 2000

The IT Industry: Landscape Today

The IT Industry: Landscape Today

The IT Industry: Landscape Today

Services and software to

Hardware, software and services

Component Value Technology components

The IT Industry: Landscape Today

Services and software to

Hardware, software and services

Component Value Technology components

The IT Industry: Landscape Today

Component Value  Technology

 Services  World’s largest business and technology services provider

 Principal lines of business:

 Services  World’s leading provider of financing and asset management

 Strong supporter of open standards

 Creating foundation for new autonomic storage model

 #1 Storage Services provider in the industry

 Retail Store Solutions

Point-of-sale systems, kiosks and peripheral devices

 Services  Develops, markets and supports a diverse set of software

 Services  Develops, manufactures, sells, and provides services for

 Focuses on technologies for the pervasive, network

 Services  World’s largest IT research organization

 Research  Produces more breakthroughs than any other company

Received a record 3,288 U.S. patents in 2002

The 10th consecutive year leading all companies in

Work ranges from physics to cognitive science to

Source: 2001 IBM Annual Report

The IT Industry: Landscape Today

 IBM Business Consulting Services

 IBM Global Services

Component Value  Technology Group

We strive to lead in the creation,

We translate these advanced

Updated January 2003 © 2003 IBM Corporation

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Incorporated in 1911 as the Computing-Tabulating-Recording

In 1924, C-T-R became International Business Machines

The world’s largest information technology company

The 8th largest corporation in the world

Year end 2001, IBM reported:

Corporate headquarters: Armonk, NY

Operations in more than 160 countries worldwide

Nearly 60 percent of revenue generated outside the United States

Component Value Technology

Services World’s largest business and technology services provider

Principal lines of business:

Services World’s leading provider of financing and asset management

Strong supporter of open standards

Creating foundation for new autonomic storage model

#1 Storage Services provider in the industry

Retail Store Solutions

Services Develops, markets and supports a diverse set of software

Services Develops, manufactures, sells, and provides services for

Focuses on technologies for the pervasive, network

Services World’s largest IT research organization

Research Produces more breakthroughs than any other company

IBM Business Consulting Services

IBM Global Services

Component Value Technology Group