I own 100 shares of IBM...Boring and stable. Just how I roll, what I like (mature industry leaders). Their earnings came out good...Which is nice. I love the little (or big) thing they announced. I will try and get this concept correct if I can. They will be instructing companies how to use open AI (and private AI). A whole new niche I didn't see coming... Maybe IBM's revenge...
Now that was yesterday. Today's chart looks even better. So, again, screw all the glitter of Mag7 and stick with the tested and proven company. Well, that's my thinking.
International Business Machines Corporation, together with its subsidiaries, provides integrated solutions and services worldwide. The company operates through Software, Consulting, Infrastructure, and Financing segments. The Software segment offers a hybrid cloud and AI platforms that allows clients to realize their digital and AI transformations across the applications, data, and environments in which they operate. The Consulting segment focuses on skills integration for strategy, experience, technology, and operations by domain and industry. The Infrastructure segment provides on-premises and cloud based server, and storage solutions, as well as life-cycle services for hybrid cloud infrastructure deployment. The Financing segment offers client and commercial financing, facilitates IBM clients' acquisition of hardware, software, and services. The company has a strategic partnership to various companies including hyperscalers, service providers, global system integrators, and software and hardware vendors that includes Adobe, Amazon Web services, Microsoft, Oracle, Salesforce, Samsung Electronics and SAP, and others. https://www.ibm.com/
One thing has become completely clear. Google no longer has a monopoly on Search. Infact, Google's search is not even preferable any longer. AI will live or die by its ability to direct and re-direct traffic to ads. So far, Microsoft looks very good here. If IBM can include general ad and tracking capability to the consulting with AI..they would be gold. Even if its just ads regarding advertising what the client companies do and what industry and sector. And the tracking of activity within companies and sectors. Big Blue needs to bring its presents back to Computers and the Internet. Create a widely used portal base page with business search, small business email servers, webpage and cloud hosting, business and corp news. Something that younger professionals can GoTo quickly each day. Something clean and Uncluttered. maybe call it Blue.com
Of course anything involving AI looks good right now because we are in a massive bubble. I just learned a good trick tonight that is a great example of how LLMs work. Ask chatGPT4o "What day was yesterday, if yesterday Thursday?" Because there is no intelligence, just next token prediction it will answer something like "If yesterday was Thursday, then today is Friday" That is the most likely answer given the training data to that question in context but it is not what is being asked. The issue is any hard question that is worth answering is going to pose that exact same problem. The answer will also be just as wrong but sound right if you aren't paying attention. There are better AI stocks to short but not taking profit here is insane to me. There is still room to run on long trades too be you have to be nimble. Buy and hold AI stocks here is just going to be a bag holder. There was nothing that could have been done when a new AI breakthrough leads to models that break the Turing test. A bubble was inevitable but we will look back in 10 years thinking about how obvious people talking about bombing data centers to save humanity from LLMs was completely ridiculous bubble thinking far beyond anything from the dot com era. This is nothing close to the level of innovation of the internet. I am hoping we can climb up one more level in the hysteria and that is when there will be some really good money to be made on the short side.
copy and paste, what is this known for these days? severs? data center? consulting? mainframe? super computer?