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IBM announces $150B investment in US
IBMIBM(IBM) Fox Business·2025-04-28 12:56

Investment Plans - IBM plans to invest 150billionintheU.S.overthenextfiveyearstoboosttheeconomyandenhanceitspositionasagloballeaderincomputing[1]−TheinvestmentreflectsIBM′slong−standingcommitmenttoAmericanjobsandmanufacturing,asstatedbyCEOArvindKrishna[2]CompanyBackground−IBMwasfoundedin1911andhasahistoryofinnovationsthathavesignificantlyimpactedvarioussectors,includingtheU.S.socialsecuritysystemandtheApolloProgram[3]−Thecompanymanufactureshigh−performancemainframecomputersinPoughkeepsie,NewYork,whicharecrucialforglobaleconomictransactions,withover70150 billion in the U.S. over the next five years to boost the economy and enhance its position as a global leader in computing [1] - The investment reflects IBM's long-standing commitment to American jobs and manufacturing, as stated by CEO Arvind Krishna [2] Company Background - IBM was founded in 1911 and has a history of innovations that have significantly impacted various sectors, including the U.S. social security system and the Apollo Program [3] - The company manufactures high-performance mainframe computers in Poughkeepsie, New York, which are crucial for global economic transactions, with over 70% of the world's transactions by value processed through IBM mainframes [3] Financial Performance - IBM reported first-quarter 2025 earnings with revenue of 14.5 billion [6] - The company's shares have increased by 12% this year, outperforming the S&P 500 index, which has declined nearly 9% [8] - IBM forecasts June-quarter revenue between 16.40billionand16.40 billion and 16.75 billion, exceeding analysts' average estimate of $16.33 billion [8] Future Outlook - The company maintains a positive outlook on long-term growth opportunities in technology and the global economy, despite a fluid macroeconomic environment [11]