Why IBM desperately needed to buy SoftLayer


IBM’s acquisition of SoftLayer is a bid to make the IT giant relevant in a world where Amazon Web Services has come in from left field to snarf up workloads that IBM would very much like to own. That’s a big problem for Big Blue.

ibmlogoIncreasingly, IBM(s ibm) is not just competing with age-old hardware and software rivals like Oracle(s orcl) and HP(s hpq), but also with Amazon(s amzn). And, going forward, IBM will butt heads more with Google(s goog) and Microsoft(s msft), which have staked big claims in public cloud infrastructure.

Armonk, we have a problem

IBM’s issue: It says it has a public cloud presence in SmartCloud but most of the world doesn’t know about it. Granted, IBM can sell SmartCloud to its existing (and large) customer base of Fortune 500 companies, but if it wants to be relevant at all to newer, nimbler and more…

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