Oct 21 (Reuters) – IBM’s woes are interesting not simply
because they tell us about the economy, but because they reveal
broader truths about how, and for whom, companies are run.
IBM kicked its 2015 operating earnings goal off the
back of the truck on Monday, blaming an outright fall in
third-quarter revenues on a sudden downturn in client spending.
“We saw a marked slowdown in September in client buying
behavior, and our results also point to the unprecedented pace
of change in our industry, ” said Ginni Rometty, IBM chairman,
president and chief executive officer.
IBM shares fell more than 7 percent in reaction, giving up
more than three years of gains.
In all likelihood, IBM isn’t just a company which ran into
an inflection point in the broader economy, nor is it simply an
unlucky victim of the step change in the pace of technological