Credited from: CBSNEWS
IBM has unveiled plans to invest $150 billion in U.S. manufacturing over the next five years, with over $30 billion specifically allocated for the production of quantum computers and mainframes. This announcement aligns with a wave of domestic investments from major tech firms supporting the Trump administration's manufacturing initiatives, as emphasized by CEO Arvind Krishna who stated, "Technology doesn't just build the future — it defines it" according to CBS News, The Hill, Channel News Asia, India Times, and Reuters.
Analysts view IBM's considerable investment as a strategic move in response to potential tariffs affecting supply chains and costs in the tech industry. The investment supports not only manufacturing capabilities but also aims to advance quantum computing technology, which promises drastically improved performance over conventional systems. Notably, similar financial commitments were made by other tech giants, including Apple and Nvidia, each planning to invest approximately $500 billion in the U.S. over four years, according to CBS News, Channel News Asia, and Reuters.
IBM plans to establish three new quantum research hubs in New York, California, and Texas, projecting the creation of 10,000 high-tech jobs by 2030. This effort aims to bolster its U.S. footprint amidst growing challenges, including the recent cancellation of 15 government contracts due to the Trump administration's budget cuts, which impacted IBM's optimistic revenue forecasts. The company's financial health remains solid with $14.8 billion in cash and equivalents reported as of December 31, according to India Times and Reuters.