Bonum Certa Men Certa

'Journalists' Who Help IBM Cover Up Fraud

posted by Roy Schestowitz on Jul 19, 2026

Journalistic malpractice for salaries is an actual career path. You basically help lie and cover up for billionaires; they pay for it, it's PR-as-a-service.

Last month we also showed how journalistic malpractice can help facilitate "pump and dump" schemes (financial fraud): Journalists Should be Ashamed for Parroting False Claims From IBM Management About "Quantum Computing", Say IBM Insiders Who Work on "Quantum Computing"

We really need to call out people who do this or participate in this. They benefit financially by helping to financially defraud people.

Today we saw a comment about the "IBM Titanic." It spoke of the tough reality at IBM: (followed by later comments to the same effect)

The writing is on the wall and Alvind is circling the drain. Lawyers are waiting eagerly, hungry for their scraps. They smell and taste blood in the waning hours of the evening. A once mighty corporation brought down by greed of it's executives. It is close to death and waiting to be devoured. Death by a thousand cuts will come slowly and very painfully.

Time for a final round of musical chairs on the IBM Titanic.

And it's time to take home those lovely stereo speakers that you have coveted for so long, and which will disappear if you don't perform a sn---h and grab operation early next week. After all, what is a living room without a great pair of speakers ?

[...]

"The company’s top leaders have discussed whether it has become too reliant on large accounts ... need to diversify and court a wider range of customers, such as medium-sized companies,"

In other words, the strategy of entirely realigning IBM to only cater to fortune 100 companies is failing badly and they want us to reverse course?

[...]

Has this year's "WatsonX Challenge" happened? I have the perfect business case to solve! Every team needs to work on that.

IBM was never a cloud company. It may be a quantum company or it may not. It doesn't matter because that is a minimum of a decade away from being useful. This tedious nonsense over the last 3 to 5 years about how big the book on AI is is now exposed as a fraud. The company has a bunch of AI consultants but is in no way an actual AI company.

I did work on Power and I did like that. But it may be time to put a fork in it. You can look for yourselves. top500.org is a continuously updated list of the fasted supercomputers in the world. Picking a random date of June 2012, IBM was numbers 1, 3, 4, 7, 8. The most recent posting (June of this year) has no IBM at all in the top 10 and you need to dig to past 100 to find one. The reason I mention this is that Power lives and dies by being a super fast supercomputer at one or more US National Labs. It was once a commercial processor but isn't today. So if it isn't a world leading supercomputer, it really isn't anything. Wrap it up and while you're at it, wrap up whatever is left of Storage.

As has been the case for 60 years, that brings us back to Z. The Chinese, who have an unreal number of developers, are working hard to put Z behind them in all their institutions. When they are done, they will help all of the "Global South" to follow their lead. That leaves "the West." The problem there is that almost every Z customer in "the West" is scrambling to find a way off. Or at least minimize the work that must be done on the platform.

Red Hat is genuinely useful. But it is not possibly capable of holding the who enterprise afloat. To reiterate, IBM isn't a cloud company; it isn't an AI company... Anyone remember Block Chain? IBM is an unwieldy large consulting company with Z as the real bread and butter. And that is under threat like never before.

[...]

and if you think that Q2 2026 results are bad (without them being announced), why don't you just wait and see what happens with IBM's Q3 2026 results ? If history is anything to go by, things are going to get worse. Call it AK's summer doldrums.

Remember that IBM is now under investigation for fraud. There is legal action. People take note of the outcome (the times/actions coincided): IBM "dropped again today. Lost almost 30% of its wealth in one week. Arvind is a failure. He’ll take his $100M golden parachute back to India while IBMers and their families are made to suffer for his incompetence. What a joke that guy is." Another person said: "IBM should still be sold. Continue to sell the stock on rallies."

A timeless reminder:

IBM is now being investigated for security fraud So much for your minor setback

https://www.businesswire.com/news/home/20260715713305/en/Securities-Fraud-Investigation-Into-International-Business-Machines-Corporation-IBM-Announced-Shareholders-Who-Lost-Money-Urged-to-Contact-The-Law-Offices-of-Frank-R.-Cruz

https://www.businesswire.com/news/home/20260716267413/en/IBM-Investor-Alert-Levi-Korsinsky-Notifies-Investors-of-Investigation-Into-International-Business-Machines-Corporation-IBM

https://www.globenewswire.com/news-release/2026/07/17/3329004/0/en/ibm-legal-notice-ibm-is-being-investigated-for-securities-fraud-investors-notified-to-contact-bfa-law-if-you-suffered-losses.html

https://www.bfalaw.com/cases/ibm-class-action-lawsuit

"This lawsuit is not frivolous," someone pointed out in another thread. "It is a sign of what is coming. Bankruptcy is coming faster than it was foreseen. The lawsuit is to ensure, the shareholders have a seat when IBM is broken into pieces to satisfy the stakeholders."

Now come the face-saving puff pieces, which anger people. "The most amusing part of the article is the premise itself that IBM can re-achieve any sort of relevance after this decimation," someone wrote. Another said: "IBM has not been relevant for last two decades. So really it’s return to the thought that they think they are relevant again. Just look at last stock drop of 26% the rest of market didn’t even blink. No one cares at ibm anymore."

On what the current CEO did:

At a market level, I agree. But until 2022 I had an amazing career at IBM and was able to do innovative work - even though that was always an uphill battle with the executives who treated all innovation like a vampire would garlic. With enough effort, vision, and storytelling I could get maybe half my ideas implemented or out the door.

But starting 2022, Arvind got his marching orders to increase the stock price at any cost. From then on, I saw my team cut every year until over 90% were cut after three years and every idea I had was shot down even after demonstrating it was actually cheaper than doing nothing. My jackarse "PO" would routinely deride my ideas as "old" even though the issues were still valid and they had nothing better.

The worst possible VPs became my VPs, and they carried the banner of mediocrity forward, surrounding themselves with Yes Men - the Matt Loathsomes, the Swill Fourribles.

What was always difficult became insufferable. The IBM I knew was now dead. When the end came, I felt like I was being put out of my misery because IBM was no longer a place where high achievement was valued, only blind obedience and compliance to mediocrity as their core aesthetic.

Another thread about the CEO:

I call BS on IBM’s hybrid cloud strategy

IBM has a major gap in its product portfolio. We don’t make and sell devices that have GPUs. This is what enterprises are clamoring for AI training and inferencing at scale, which is way more powerful than the accelerators we have on IBMZ and Power. And IBM Cloud can’t compete against the hyperscalers, which are expensive, however ideal for running AI use cases at scale. We have a strong AI product portfolio, although so do a lot of companies. We’ve acquired a lot of companies that complement our core products and have a massive ecosystem. But most days, I wonder -
What does IBM even stand for? Where do we even belong in this rapidly evolving world?

I don’t believe IBM will fail. However we all, especially our Senior Leaders, need to really think about what we actually stand for. Not this BS hybrid cloud leader statement. It’s about crafting a real vision that inspires the world. It’s about culture change to invigorate low morale at the ranks. It’s about picking up this company and giving it a really good shake. If we don’t do something drastic, then the free fall will continue.

From the comments: "IBM’s hybrid cloud went “poof” last week when IBM had to disclose that customers were not rushing towards mainframes to solve all of their business problems, but rather away from it. AK spent 5 years convincing wall street that hybrid cloud was the solution, and yet in less than 1 quarter the hybrid cloud strategy evaporated into the “legacy” mainframe business cycle that IBM can’t seem to grow. NOTE there is yet more disturbing news in IBM’s preliminary earnings. IBM reported that “distributed” system sales were up 37% or approximately 200 million give or take. The problem is distributed systems sales have fallen off a cliff over the last 5 years and even a 37% increase in sales (year over year) left IBM 600 million short in the second quarter. (Year to year compare). That says even systems designed for AI (eg power 11) are not solving customers AI desires, and IBM mainframe really shrank by approx 800 million in the quarter when we look at HW sales. Now add it SW growth (redhat, Confluent, and Hashi) yet another 200 million in revenue, and the mainframe loss is approaching 1 billion. That is a very disturbing trend, and the IBM executive team has their work cut out for them, to prove that 2nd q was just a one off and not a disturbing shift in the mainframe marketplace, back to legacy growth based on raising prices."

In a thread that we mentioned before the weekend:

why aren’t more people saying this or speaking up? Now is the time. We are in a bad place. Speak up now or you might never get the chance! And you will regret it!

IBM propaganda published to cover up this fraud:

Sarah E. Needleman Should also be held accountable for this clearly biased puff piece and reporting. Her journalistic integrity has been bought.

People react strongly because it's no secret that IBM pays the media sites for fake news.

Further down:

The article is an obvious marketing job that was planned before the Q2 fu-k up announcement to play the market.

It's good to see scepticism of this media, as many articles about IBM are paid-for fluff. That not only lets some people get away with white-collars crime; it also entices some people to enter a scam, invest in a scam, then lose their money. █

Other Recent Techrights' Posts

Linux Kernel Needs Diversity and Diversity of Good Code, Not LLM Slop
Linux (and Linus) are kicking a can down the road
Techrights Was Right About a Fake Security Model Built Around Lies or Built Upon Trust in "Certificates" and "Authorities" (like Microsoft)
We have begun to amass some media reports and blog posts from technical sites
 
Links 22/10/2026: eBay to Lay Off a Tenth of Staff (Again), Node.js and PHP Security Crises, Climate News
Links for the day
Red Hat Layoffs Still Going on This Week (Whilst IBM's Debt Grows in Spite of Mass Layoffs)
IBM is bluffing/cheating the shareholders again
IBM's Debt Continues to Increase While the Company Rapidly Shrinks
This is what a dying company looks like
Intercontinental Brigading - Part XI - Losing Over a Million Pounds (Borrowed Money) to Try to Silence Critics of Restricted Boot With Microsoft-Controlled "Certificates"
Garrett is also very jealous of Daniel Pocock
Microsoft Shrinks Every Year
Microsoft will try to spin or twist this as "efficiency"
Gemini Links 22/10/2026: Holiday Inn and Emacs
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Wednesday, October 21, 2026
IRC logs for Wednesday, October 21, 2026
Windows Monopoly is No Longer Sustainable (the Case of Oceania)
This is why Microsoft layoffs are happening all the time
Some Downtime Possible Shortly (Router Work)
We don't use PHP in the site anymore
Mass Layoffs at Microsoft This Week and/or Next Week
Cannot pull a bunny out of some hat
With Its Future on the Line, EPO Management (Dictatorship) Resorts to Further Escalations to Fake 'Production' and Curtail Industrial Actions
It's clear that with a yearlong campaign of industrial actions - including strikes - Campinos cannot save face anymore
Gemini Links 21/10/2026: Summer Day in Tokyo (30c in Late October) and Whole Food for the Whole World
Links for the day
Links 21/10/2026: "Zelensky Took the Gloves Off This Time With Convicted Felon" and "Cellebrite iPhone Radio Zero-Day"
Links for the day
Reuters is Becoming Slop, Not a News Agency (Treat Reports From Reuters Sceptically)
In their own words
Disclosure/s Crisis at The Register MS (Promoting a Ponzi Scheme for Money)
So now they sell several schemes/scams at the same time, not limited to the slop
Links 21/10/2026: "The Tragic Death of the Republican Party" and "No War But Data Center War"
Links for the day
Internet Relay Chat Still Growing
The numbers go up, not down [...] Don't believe the doomers
Intercontinental Brigading - Part X - American Back Doors Inside Our Computers, With Transatlantic Swatting Against Critics Thrown 'Into the Mix'
"If your Windows PC's Secure Boot certificates are out of date, your system is vulnerable to malware like rootkits."
Gemini Links 21/10/2026: A Walk Through Amsterdam and Pythagorean Theorem
Links for the day
More Mass Layoffs at Microsoft Weeks From Now, Then Again Months From Now
Microsoft's crisis is not limited to XBox
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Tuesday, October 20, 2026
IRC logs for Tuesday, October 20, 2026
Gemini Links 20/10/2026: The Brothers Who Fought Mussolini and a Dying Main Laptop
Links for the day
Brett Wilson LLP Has Almost Zero Litigation Clients This Year (in the Area They Specialise in)
The silence on the financial front, combined with the lack of new clients, is deafening
Where to Celebrate the 20-Year Anniversary
let us know in IRC
Cheapening of the Workforce at IBM and Microsoft, Typically Without Even Announcing Any Layoffs
from leadership to compelled "retirement"
Help Us Improve Techrights
The site relies on teamwork in a growing community; even readers are part of it
Links 20/10/2026: $100 Million ICE “Intelligence” Program and France Riots
Links for the day
Gemini Links 20/10/2026: GAFAM GCP Outage in the UK and New Oddμ Release
Links for the day
Articles in The Register MS Composed by Employees of the Companies They're About
The Register MS is the place to be
Intercontinental Brigading - Part IX - Swatting is Not Funny, Swatting is a Murder Attempt
“Swatting is not harmless. It is a serious crime that can lead to dangerous situations and divert law enforcement away from someone facing an actual emergency. What callers may believe to be a ‘joke’ actually risks the public safety of our communities and can carry lifelong consequences for those responsible”
Links 20/10/2026: Facebook Scraping and Plagiarising News Sites, Copyright Act Turns 50
Links for the day
Microsoft's XBox Leadership and Strategy is Slop
XBox sales are already worst in the entire history of XBox
81% Voted in Favour of EPO Strikes Until End of This Year
Who's in the line of succession at EPO?
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Monday, October 19, 2026
IRC logs for Monday, October 19, 2026
Gemini Links 20/10/2026: Old Movies, Bandera Hike, and Mongolian
Links for the day