IBM said it plans to cut 1.5% of its global workforce.
The announcement on Wednesday came as IBM reported fourth-quarter results that beat expectations.
- IBM reported earnings of $3.60 per share, slightly beating expectations.
- The company's revenue of $16.7B surpassed the $16.4B expected by analysts.
- Despite the strong results, IBM said it plans to cut 3,900 jobs.
- The layoffs will target workers who remain at IBM after it spun off its infrastructure services provider, Kyndryl, and its healthcare unit, Watson Health.
- IBM will continue to hire new staff in "higher-growth areas" said CEO James Kavanaugh.
- Other tech firms including Microsoft, Alphabet, and Amazon have also announced job cuts in recent weeks.
- CEO Arvind Krishna is working to pivot IBM away from business infrastructure and information-technology services, and toward cloud computing and artificial intelligence.
