IBM Revenue Growth Slows

Despite beating profit estimates, IBM is struggling to maintain its momentum as enterprise demand for hybrid cloud and generative AI evolves.

CEO Arvind Krishna noted that geopolitical uncertainty, including the Iran war, is weighing on the company's global outlook.

While IBM has seen strong growth in its AI-enabled analytics products, this has not yet been enough to offset the decline in its legacy software segments.

The company has announced a dividend increase and maintained its full-year forecast, but analysts remain wary of the intensifying competition from newer AI-focused startups.