Tech Bros think it's good artist lose their job to AI art

Well all the companies who replace their employees are tech works

Including IBM CEO Arvind Krishna announcing hiring pause if the job can be done by AI and planning to replace 8000

There's a reason why a lot of AI advocates are CEO

Influential CEO Arvind Krishna

He is an 𝗜𝗻𝗱𝗶𝗮𝗻-𝗔𝗺𝗲𝗿𝗶𝗰𝗮𝗻 𝗯𝘂𝘀𝗶𝗻𝗲𝘀𝘀 𝗲𝘅𝗲𝗰𝘂𝘁𝗶𝘃𝗲, serving as the Chairman and Chief Executive Officer (𝗖𝗘𝗢) of 𝗜𝗕𝗠.

He is -

• 2021 Most Influential Executive on CRN’s 2021 Top 100 Executives list.

• Received distinguished alumni awards from IIT Kanpur and the University of Illinois.

• He was a chief planner of the $34 billion acquisition of open-source software vendor Red Hat.

• He has co-authored dozens of patents, has been the editor of IEEE and ACM journals, and has published extensively in technical journals.

• He has a track record of bold transformations and proven business results. His IBM colleagues describe him as an authentic, values-driven leader.

He Stated: “𝗜𝗳 𝘆𝗼𝘂 𝗱𝗼𝗻’𝘁 𝗵𝗮𝘃𝗲 𝗮𝗻 𝗮𝗿𝗰𝗵𝗶𝘁𝗲𝗰𝘁𝘂𝗿𝗲, 𝘆𝗼𝘂’𝗿𝗲 𝗷𝘂𝘀𝘁 𝗱𝗼𝗶𝗻𝗴 𝗮𝗱 𝗵𝗼𝗰 𝘀𝗲𝗿𝘃𝗶𝗰𝗲𝘀."

IBM investors woke up to a shock on July 14, 2026, as the IBM Q2 2026 earnings miss triggered the company's worst single trading day in nearly four decades. Shares plunged as much as 25% to 26% intraday, a decline surpassing even the company's Black Monday drop of 23.7% back in October 1987, and by some measures marking IBM's steepest single-day fall since 1968.

How the IBM Q2 2026 Earnings Miss Came to Light?

What made the IBM Q2 2026 earnings miss particularly jarring was how it was announced. Rather than waiting for its scheduled full earnings release on July 22, IBM CEO Arvind Krishna published an unscheduled public letter to investors disclosing preliminary Q2 results eight days early, an unusual move that immediately signaled the numbers weren't going to be good news.

The Numbers Behind the Shortfall

At the core of the IBM Q2 2026 earnings miss were figures that fell meaningfully short of Wall Street's expectations. IBM reported preliminary Q2 revenue of $17.2 billion, against a consensus estimate of roughly $17.86 to $17.9 billion, a shortfall of around $660 to $700 million. Adjusted earnings per share came in at $2.93, below the anticipated $3.02, while GAAP earnings per share of approximately $2.27 represented a 2% year-over-year decline, with pretax income margin shrinking by 90 basis points to a projected 14.4%.

What Krishna Said Went Wrong?

In his letter addressing the IBM Q2 2026 earnings miss, CEO Arvind Krishna was unusually candid about the company's failure to adapt. He explained that in the final weeks of June, clients shifted their quarterly capital expenditure toward servers, storage, and memory purchases, rushing to secure supply-constrained infrastructure ahead of expected price increases. Krishna acknowledged that while IBM had anticipated some supply chain impact, the company had not anticipated the scale of this capex reprioritization, and admitted directly that "these conditions require our teams to execute perfectly, and this quarter we faltered."

Large Deals That Didn't Close in Time

A specific driver behind the IBM Q2 2026 earnings miss was execution failure on major client contracts. Krishna noted that numerous large deals failed to close on the timelines the company had expected, driving the majority of the overall shortfall. He stated plainly that IBM did not adapt and move quickly enough in response to shifting client priorities, a direct admission of operational missteps rather than simply attributing the miss to broader market conditions.

A Narrow, Not Company-Wide, Problem

Despite the severity of the stock reaction, some analysis of the IBM Q2 2026 earnings miss suggests the underlying issue was more contained than the share price drop implies. Reporting indicated the shift was concentrated specifically in IBM's infrastructure segment, with both its software and consulting divisions still showing growth during the quarter, suggesting a narrower operational problem rather than broad company-wide deterioration.

Ripple Effects Across the Software Sector

The IBM Q2 2026 earnings miss didn't stay contained to IBM's own stock. Peers including ServiceNow and Salesforce fell roughly 7% and 5% respectively in sympathy, while Accenture and Cognizant dropped 8% and 7%. More broadly, three in five software stocks fell on the day of the announcement, with names like Atlassian and Adobe among the hardest hit, as investors began questioning whether enterprise IT budgets broadly were being redirected away from software and toward AI infrastructure purchases.

Analyst Reactions Were Split

Wall Street's response to the IBM Q2 2026 earnings miss revealed genuine disagreement about its long-term significance. Goldman Sachs analyst James Schneider pointed to internal execution issues within IBM's Data & Automation software business specifically, while UBS analyst Robert Ruple characterized the warning as a potential "harbinger" that other software, IT services, and hardware companies might issue similar warnings later in the Q2 earnings season, amplifying pressure across the broader market.

A Sharp Reversal From Prior Optimism

What makes the IBM Q2 2026 earnings miss especially notable is how starkly it contrasts with expectations heading into the report. Prior to the warning, Wall Street's average 12-month price target for IBM sat around $300, with 17 of 25 covering analysts issuing buy ratings and just two recommending a sell. That broadly bullish consensus makes the scale of the sell-off, and the roughly $68.8 billion in market capitalization erased in a single day, all the more striking.

What Comes Next?

Following the IBM Q2 2026 earnings miss, all eyes now turn to IBM's full Q2 2026 earnings release and investor conference call scheduled for July 22, where management is expected to provide further guidance on remaining 2026 targets and outline mitigation strategies for the infrastructure spending shift. Investors and analysts will be watching closely to see whether this proves to be a temporary, supply-driven blip or the start of a more structural shift in how enterprise technology budgets are being allocated between traditional software and AI-related infrastructure.

Conclusion

The IBM Q2 2026 earnings miss delivered one of the most dramatic single-day stock reactions the 113-year-old technology giant has experienced in its long history, driven not just by a revenue shortfall but by CEO Arvind Krishna's unusually blunt admission that the company failed to execute effectively amid shifting client spending patterns. With ripple effects already spreading across enterprise software peers and analysts divided on whether this signals a broader industry trend, IBM's full earnings release on July 22 is likely to be one of the most closely watched updates of this earnings season.

… leiten große US-Tech-Unternehmen, z.B.

- Satya Nadella, geboren in Hyderabad, seit 2014 Microsoft

- Sundar Pichai, geboren in Chennai, seit 2015 Alphabet

- Arvind Krishna, geboren in Andra Pradesh, seit 2020 IBM

- Shantanu Narayen, geboren in Hyderabad, seit 2005 Adobe.

Das multiethnische Indien mit 22 Hauptsprachen und zumeist einem pragmatischen Miteinander ist offenbar ein guter Nährboden für erfolgreiche Führungspersönlichkeiten. Und eine gute IT-Ausbildung in Indien tut ihr übriges.

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Arvind Krishna, the chief executive of IBM, said roughly 30% of their non-customer-facing positions could be covered by artificial intelligence over a five-year period.