IBM has announced plans to completely close its research and development operation in China. The U.S. tech company has faced challenges growing in the Chinese market, and has seen a dip in demand for its hardware. According to reports, IBM’s market share in China has fallen in recent years, due to a push to support more domestic brands. IBM reported its revenue dropped nearly 20 percent last year. Also in the report, an IBM executive told employees that R&D functions will move to other overseas facilities. In a statement, a spokesperson said these changes will not impact its ability to support clients in the greater China region.
IBM Closes China R&D Operation, Cuts 1,000 Jobs | Business Matters (Aug. 26)
By Don Ma