IBM Plans to Slash Jobs in Hardwares and Create in Cloud Computing Divisions

IBM Plans to Slash Jobs in Hardwares and Create in Cloud Computing Divisions

IBM Plans to Slash Jobs in Hardwares and Create in Cloud Computing Divisions

IBM is strengthening its newly established departments related to cloud computing and cognitive computing services by creating 3000 jobs and slashing substantial number of jobs from existing departments.

GREATRESPONDER.COM – This was announced by the company with reference to its senior management on Thursday, Feb 27, 2014 that it is going to cut the jobs across the USA and some other parts of the world to position itself for newly created services based on cloud computing and cognitive computing. This lay off may cause many people working in different computer divisions to lose their jobs across the US and abroad.

This news is very shocking for those people working in computer hardware divisions of the Big Blue. It is being anticipated that as many as 500 plus jobs will be slashed in the Rochester headquarters only. The cut in jobs will also affect other locations and departments across the United States.

Meanwhile, it was also informed that the IBM is going to create more than 3000 jobs in cloud computing and cognitive computing divisions to strengthen their cloud computing services portfolios. The company further elaborated that it needs a substantial number of workforce in cloud computing divisions to cater the demands of customers and competitive market of the same.

While talking about the job layoffs, Doug Shelton said, “As reported in our recent earnings briefing, IBM continues to re-balance its work force to meet the changing requirements of its clients, and to pioneer new, high value segments of the IT industry – To that end, IBM is positioning itself to lead in areas such as Cloud computing, Analytics and Cognitive Computing and investing in these priority areas.”

“The Alliance web site is being hammered, and it takes a few days to receive all the numbers and business units” says Lee Conrad, the spokesperson of the union that is seeking to represent the IBM company. “The layoffs will start within the time period of one week, ” he further added.

This is very important to note that IBM is eyeing on cloud computing services aggressively. Recently, it has announced crazy investments in these services that included $1.2 billion to expand cloud footprints across the globe, and as much as $1 billion investment in cognitive computing based on Watson computing platform. This job cut is another aggressive step toward its commitment towards cloud portfolio.

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Maria Dehn

Maria Dehn has held editorial management positions for numerous print and Web publications. She has more than 17 years of Information Technologies and journalism experience and has written many reports on cloud computing. You can reach her on Twitter @MariaDehn