IBM shares plunge 25% after CEO admits company fell behind | Fortune

IBM CEO admits the company failed to adapt quickly enough to market shifts, resulting in a 25% stock crash—the worst single-day decline in 115 years—as enterprises redirect capital expenditure away from mainframe and infrastructure upgrades toward AI platforms and other infrastructure. If you sell into enterprises—consulting, storage, hybrid cloud, or legacy infrastructure—your customer's capital budget just got reallocated to AI. IBM's miss shows that mainframe and infrastructure deals are now optional; AI is not.