IBM to fire thousands of employees in new restructuring

Global tech company IBM has announced it will reduce its workforce this quarter, a move that could affect thousands of employees. 

The company stated the cuts will impact a "low single-digit percentage" of its global workforce, which numbered approximately 270,000 at the end of 2024, as per a report by Reuters on the matter.

According to a report by Bloomberg News, which first reported the story, the restructuring comes as IBM focuses on its higher-margin software business and its Red Hat division. The company aims to capitalise on the growing demand for cloud and artificial intelligence services.

IBM noted that while some US positions may be affected, overall employment in the country is expected to remain stable. The announcement follows the company's recent report of slowed growth in its cloud software segment, which had concerned investors.