IBM's Earnings Tonight
As you know, I have been beating the drums about financial institutions laying off people and governments being forced to make budget cuts due to declining tax revenues.
Guess who IBM sells its products and services to....you guessed it big financial institutions and governments.
In addition, IBM sells to major Fortune 500 companies. Well we have all seen the layoff notices. We all know I have been posting about it ad nauseum.
A big part of IT spending is getting new employees connected and trained. If not many new employees are being added, one would think that IT spend would be curtailed absent some new technology implementation.
What is most important about this evenings report is not the past quarters numbers, but the guidance going forward. It will be very interesting to see if all of the lay off notices and budget cuts is impacting IBM's business.