IBM Doing Just Fine Without All Those Employees It Sacked
“We are not like the other companies in the IT industry.” This from IBM CEO Sam Palmisano, who said at an investors meeting in New York City today that the company is weathering the econalypse better than most. Big Blue is on track to meet its goal for 2010 earnings of $10 to $11 per share, said Palmisano, who added that he’s “confident” the company will meet its FY 2009 forecast of at least $9.20 a share as well (click on slide above to enlarge).
An anomalous pronouncement given the general tenor of financial news lately. But not for IBM (IBM), which, remarkably, seems to be growing more profitable even with some of its major businesses suffering declines. As Palmisano said, “The economics aren’t great, but we’re doing better than others.” And it certainly is, perhaps in no small part thanks to the company’s practice of sacking U.S. employees and shifting their jobs to lower-cost countries, which is apparently serving it quite well in this souring economy.