IBM

The IT group IBM is massively aligning its business strategy with the integration of leading Artificial Intelligence (AI) and the expansion of its cloud infrastructure. As the company announced yesterday, a strategic partnership with OpenAI has been concluded to integrate their most advanced models into its own consulting platform. This cooperation is part of a broader initiative with which IBM aims to strengthen its position in the competition for corporate clients, while extensive financing measures and legal reviews simultaneously shape events.

6, Codex, and ChatGPT Work into the IBM Consulting Advantage platform. The goal of this measure is to further automate workflows in companies and expand cooperation in the area of cybersecurity. By accessing OpenAI's technology, IBM aims to provide its consultants with tools that can solve complex tasks more efficiently. In parallel, IBM is investing heavily in the technological basis of its cloud services. On Tuesday, a multi-year agreement worth 240 million US dollars was signed with Together AI. This deal provides for the deployment of a large-scale cluster of NVIDIA HGX B300 systems on the IBM Cloud.

The computing power is primarily intended for the inference training of open-source models and is expected to be available from the first quarter of 2027. In addition, the group subsidiary Apptio introduced new tools with which companies can more precisely track their AI expenditures and the profitability of their investments. Despite the technological offensive, IBM is under scrutiny from lawyers and investors. Several law firms, including Hagens Berman and Bleichmar Fonti & Auld, have initiated investigations into possible violations of US securities law.

The reason is the massive stock plunge on July 14, when the share fell by 25 percent in a single trading day. The triggers at the time were weak preliminary results for the second quarter and reports of disappointing demand for IBM Z mainframes. Investigators are now examining whether the company misled the market about the actual business development and the dynamics of new contracts. This uncertainty is clearly reflected on the stock market this year. 55 Euro, which corresponds to a 22 percent decline since the beginning of the year. 85 Euro at the beginning of June.

To secure liquidity and for general corporate purposes, IBM completed a bond issue yesterday. 75 percent and a maturity until 2034. The rating agency Fitch assigned an "A-" rating to these senior unsecured notes. Fitch referred to the resilient operating profile and the critical role of the z17 system in hybrid IT infrastructures. S&P Global Ratings also rated the issue "A-", but gave the outlook "negative" as debt levels are close to the threshold for a downgrade. Among shareholders, opposing trends have recently emerged. 3 percent in the second quarter.

The US asset manager Vanguard remains one of the largest institutional shareholders of the group with a holding of over 97 million IBM shares. IBM Stock: Buy or Sell?! New IBM analysis from August 15 provides the answer: The latest IBM figures speak a clear language: Urgent action needed for IBM shareholders. Is it worth buying in or should you rather sell? In the current free analysis from August 15, you will find out what to do now. IBM: Buy or sell? Read more here... Eduard Altmann is a financial expert with over 25 years of experience in global financial markets.