Re: 3Q10


What is immediately obvious from this chart–and what you cannot know from the presentation that IBM puts together–is that the X64 portion of Big Blue’s server business is recovering better than the transition-weary mainframe and Power iron, but even with that, these machines have posted the best third quarter that IBM has had since 2006. In fact, last quarter was one of the best quarters that IBM has had in the past four years. The Power Systems business had a sequential decline as well as a quarterly decline and is trending about $300 million a quarter on average lower in 2010 than it was in 2006 and 2007 before the Great Recession kicked in.