IBM's Krishna tries to reassure investors that AI won't disrupt company's software unit

IBM's CEO Arvind Krishna is attempting to calm investor concerns that the rapid advancement of artificial intelligence could negatively impact the company's software unit. This is a significant issue for IBM, as its software business is a crucial component of its overall revenue. By emphasizing the growth of mainframe hardware capacity, Krishna is drawing attention to an area where IBM has traditionally been strong, and suggesting that its software offerings will soon rebound.

The statement that software sales should "catch back up" within a year is an important benchmark for investors to watch. If IBM is able to meet this timeline, it could help to alleviate concerns about the company's ability to adapt to the changing technology landscape. However, if software sales continue to lag, it could raise further questions about IBM's competitiveness in the market. The expo audience will be closely watching IBM's progress in this area, as it has implications for the broader technology industry and the potential impact of AI on traditional software business models.

As the technology industry continues to evolve, companies like IBM are under pressure to demonstrate their ability to innovate and adapt to changing market conditions. The expo audience will be interested in seeing how IBM's strategy plays out, and whether the company is able to successfully integrate AI into its software offerings. Key areas to watch will include IBM's mainframe hardware sales, as well as its progress in developing and marketing AI-powered software solutions. If IBM is able to execute on its strategy, it could help to reassure investors and position the company for long-term success in a rapidly changing market.

Originally reported by cnbc.com. Expo-News adds analysis for finance & markets readers.