Wall Street? Couldn't raise capital? Maybe IBM could have used some of the $110 billion dollars they spent on buying back shares to, I don't know, build a real business? IBM could potentially have built what is now AWS but what did they do instead? Share buybacks. What do they have to show for that?
IBM has been essentially a financial engineering machine for many years, with their ridiculous 5-year EPS targets and all the rest of it. While I was there they even removed plants, copiers, coffee machines, televisions, pads, pencils, pens and everything else in sight to "save" money.
The "leadership" of IBM drove the company in to the ground, period.
>Maybe IBM could have used some of the $110 billion dollars they spent on buying back shares to, I don't know, build a real business?
You just answered your own question. As I pointed out, leadership was "picked" by Wall Street investors. Share buybacks and financial engineering exist to keep the investors happy.
If they didn't buy back shares and invested in R&D the stock would have gone straight down instead of sideways. As I said the leadership "couldn't get the capital to fund internal engineering efforts for the _scale_ of the transformation needed to sustain IBM's success"
IBM has been essentially a financial engineering machine for many years, with their ridiculous 5-year EPS targets and all the rest of it. While I was there they even removed plants, copiers, coffee machines, televisions, pads, pencils, pens and everything else in sight to "save" money.
The "leadership" of IBM drove the company in to the ground, period.