What's circumstances at IBM?

            What's circumstances at IBM?

INtroduction: what is going on IBM take place in addition to the many companies that alternative technology big on value of coverage. And so let me be clear: IBM death.

Last week, the big round of layoffs hit only IBM predicted in January. The company is releasing few details as possible. 

No one, for example, know how much is this purpose - how many people go? IEEE Spectrum found one source, who said 30 percent of IBM class workforce, IBM said that number is too high. I think 30 percent is too high, especially if you are confused to retirement and contractors fell, etc.

Round of layoffs IBM employees, in my opinion, is in the range of 20-25 percent. The combined number of employees for IBM similar to last year, but made a number of years, prominent on the fact that the majority of normal - employees and contractors or pensioners (they were abandoned in recent years, mainly to layoffs These seem less). IBM's work with US 90-100000, and how it has been proven eighteen 0000, annexed 25,000 people just doors IBM. 

And they are under the new rules, leaving one month from the date of the end of useful service, instead of up to 23 weeks, which is in force until the end of 2015. It will be a blow to the head all the veteran IBM's Organization WHO is waiting for the ax up to fall, but it is reasonable that they are doing their job, but hope for the kind of packaging. Good packaging and they are full of crap.

The life cycle of companies

IBM and heard from them and piles of unit area, the unit is usually either drunk or fear. But frankly, until it is too late to save a lot of IBM, that they remember. This company has gone for a year. The best you can hope for is a little clarity and impact conditions that are offered to them the door. It seems clear to IBM and their skills in object list and I was covered in another column this week. But at this point I need to adjust what I say IBM's death.

Big Blue is in transition, as they say. Company old system of large and medium build a darker, analysis, mobile, and social security. The company has done several times before. Union Square and the sorters cardboard typewriters example. The theory is that IBM will come out from the doctor to change the past, the new company is headed for big events.

These functions during the transition CEO is fasting Business New Age food. IBM Chief Operating Jane Rhumica was the result features more in keeping Wall Street happy, which means increased profits and stock repurchase although activity Economic certain. It was all new companies can conjure up perfectly in the past.

But what if they do not?

IBM is the largest contributor to the wife of Warren Buffett's Berkshire more than eight P.C. In one sense you might think Buffett worried stock spiral of IBM. On the contrary, a few months before Buffet explained contributions long suits will not sell, and to reduce the share of the cost unit is the rational construction and as a result allows him to get shares the approach and companies more numerous, when it climbs.

But just before this round of layoffs began to Warren Buffett to change his tune on IBM. He asked when dealing with stubborn partner, Charlie Munger is pessimistic about IBM. It was a radical change in attitude, which makes this clip bizarre Jim Cramer, CNBC attempts to explain: