IBM to invest $1.2 billion in cloud services
January 19th, 2014
International Business Machines (IBM) plans to invest $1.2 billion to expand its cloud services. The computing and technology giant wants to increase its presence in the next generation of cloud storage and other services. The project includes building 15 state-of-the-art data centers across the world. IBM has to adapt quickly to move from a predominantly hardware-based company into one providing online services. It has experienced declining revenuesfor the past six quarters and urgently needs to reverse this trend. An IBM spokesman told reporters: “This is fundamental because this allows us global coverage.” He added: “We are continuing to invest in where we think the growth areas are going to be.”
Wikipedia says: “Cloud computing is a phrase used to describe a variety of computing concepts that involves a large number of computers connected through a real-time communication network such as the Internet.” In reality, “the cloud” is a metaphor for the Internet. Clever marketing has created the concept of the cloud to create more sellable services. Users of cloud services keep their data and software on a server (a huge computer) of the company offering the cloud service. There is no need to download anything or store information on a home or work computer. Wikipedia outlines several deterrents to the widespread adoption of cloud computing, including security, reliability and issues surrounding privacy.
predominantly – adverb – for the most part; mostly; mainly
“French is predominantlyspoken in the Canadian province of Quebec, but they also use some English.”
decline – verb – to follow a downward path
“My grades at university began to decline after I started drinking beer every night!”
revenue – noun – an amount of money regularly coming in.
“Most successful businesses have several sources of revenue coming in from different products and services.”
sellable – adjective – possible or suitable to sell
“Before homeowners advertise their homes for sale, they want to make it as clean and attractive as possible to make it more sellable.”
Verbs + able become an adjective that usually means that verb is possible.
Doable = I can do it. “This project is huge, but if we work together I think it’s doable.”
Drinkable = Safe to drink. “Many poor people in the world don’t have easy access to drinkable water.”