IBM Earns Top Ranking in Global Application Outsourcing Services Market for Second Consecutive Year

Flexible Approach in Application Management Services and World-Class Delivery Network Respond to Client Demand.

ARMONK, N.Y. -IBM (NYSE: IBM) today announced that industry analyst firm IDC has ranked it the worldwide leader in the application management (AM) services market based on combined bundled and discrete services revenue in 2008.

According to IDC analysis, IBM continues to hold a significant combined applications management lead, reflecting its ongoing flexibility in evolving a global capability that supports discrete and embedded application solutions.

“With clients today seeking higher-value solutions as well as cost savings, they’re looking to services partners for increased levels of innovation, flexibility and delivery,” said Colleen Arnold, general manager, IBM GBS Global Application Services. “With the world’s most sophisticated global delivery network and a growing range of value-added services -- including embedded business analytics -- we are distinctly able to help clients advance their competitive positions and capture growth opportunities.”

According to IDC, “In the latter half of 2008, the discrete value proposition for customers was weighted toward realizing greater cost reductions and streamlining operations. IBM responded to customer demand to accelerate the pace of cost reductions, leveraging its optimized global delivery model of offshore, near shore, and onshore capabilities, in combination with flexible contractual arrangements.”

The IDC report, titled “Expanding the Application Outsourcing Lens: 2008 Integrated and Discrete Views” (Doc # 219272) was authored by Rona Shuchat in July 2009.