Can IBM survive a monumental stock drop as AI clients divert billions? IBM CEO and chairman Arvind Krishna addresses investor fears, client spending shifts toward AI infrastructure, and the company&#x27;s bold pivot to quantum computing. Arvind also reveals why tech clients deferred massive spending deals, how IBM is adapting its sales model to withstand inflation, and why he believes quantum technology will drive a $1 trillion economic impact. Learn more about your ad choices. Visit podcastchoices.com/adchoices

IBM’s Hard Reset: CEO Arvind Krishna on Stock Drop & AI Strategy

Everyone Talks To Liz Claman

[SPEAKER_02] It's a make or break moment for one of America's oldest technology giants. Big Blue seeing a tiny green shoot at this hour in this final hour of trade. Shares which earlier dropped as low as $199 have reversed and right now are slightly green, slight, well, you know, it's back and forth across the flat line, but they're at $205.62. It's a lot better, but the stock has so much more ground to make up. IBM reported revenue and earnings that came in below even Wall Street's lowered expectations.

[SPEAKER_02] which the street had to drop after the company stunned investors last week with a rare pre earnings profit warning that triggered the worst single day stock drop in the company's 115 year history. Can IBM perform a hard reset before more investors hit delete? Joining me now, IBM chairman and CEO Arvind Krishna. Arvind, thanks for coming on the Claman Countdown. We appreciate it. Liz, it's always a pleasure to speak with you.

[SPEAKER_02] You got some analysts from major banks standing by IBM today, even though last night you trimmed your full year sales growth forecast from what had been more than 5% to a range of 4% to 5%. When investors see that, some assume last week's warning and subsequent earnings missed this time around is more than just a one quarter problem. Are they wrong?

[SPEAKER_01] So I think that the problem wasn't one very narrow area. The narrow area was large capex deals at very large clients. As we see those begin to come back, then it becomes more of a deferral than a destruction question.

IBM’s Hard Reset: CEO Arvind Krishna on Stock Drop & AI Strategy

Read the full transcript

The candid version is on a podcast,
not the earnings call.

IBM’s Hard Reset: CEO Arvind Krishna on Stock Drop & AI Strategy

Read the full transcript

The candid version is on a podcast, not the earnings call.

The candid version is on a podcast,
not the earnings call.