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IBM Global Services: A Brief History IBM Corporate Archives May 2002 2405SH01 OVERVIEW Background In 1991 IBM was a $64.8 billion company, of which less than $6 billion was derived from non-maintenance services. Ten short years later, the business of information technology (IT) services alone generated more than 40 percent of IBM.s $86 billion in sales and had become the single largest source of revenue in IBM.s portfolio. How did that happen? It was partly the result of old-fashioned hard work and serious commitment: growing customer by customer; building disciplined management and financial systems; and investing to hire and train experts in everything from IT consulting to systems architecture and Web services. IBM used its financial strength to fund the expensive push into outsourcing, and the company placed informed bets on the future in areas such as IT utility services (.e-business on demand.) and hosted storage. But most important, the success of IBM Global Services came from something...

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