"IBM's AI Surge: Revenue Rises, Shares Soar, and Big Blue Bucks the Datacenter Server Recession"

IBM's fourth-quarter financial results show a 4.1% increase in revenues, reaching $17.38 billion, with gross profits up 6.6% to $10.27 billion and net income up by 21.3% to $3.29 billion. The company's Infrastructure group, which sells servers, storage, operating systems, and tech support for the Power and Z lines, saw sales rise by 2.7% to $4.6 billion. IBM's Software group had $7.51 billion in sales, up 3.1% year on year. The acquisition of Red Hat has helped rejuvenate IBM's systems business, with Red Hat revenue continuing to grow faster than global IT spending. Additionally, IBM's AI bookings doubled in Q4, and the company is expected to focus on startup acquisitions to build up its AI software stack.