IBM has announced its decision to exit Nigeria, Ghana, and several key African markets, marking the end of its direct operations in the region after over 50 years. The multinational tech giant will transfer its business operations to MIBB, a subsidiary of Midis Group, starting April 1, 2025.
MIBB Takes Over IBM’s Regional Operations
MIBB will now be responsible for marketing and selling IBM’s software, hardware, cloud, and consulting services across 36 African countries. The company will also oversee customer relationships and technical support, ensuring continuity for businesses that rely on IBM’s solutions.
IBM has played a pivotal role in Nigeria’s technology ecosystem, providing critical infrastructure and consulting services to sectors such as banking, telecommunications, oil and gas, and government. Its high-end computing and storage solutions have been widely used by financial institutions like Zenith Bank.
Reasons Behind IBM’s Exit from West Africa
IBM’s decision comes amid increasing competition from global tech companies like Dell and Huawei, which have expanded their footprint in Nigeria’s banking sector. Additionally, IBM has faced financial challenges globally, with its consulting revenue dropping 2% to $5.18 billion and infrastructure sales falling 8% in 2024.
Despite these declines, IBM’s overall revenue grew by 1% to $17.55 billion, driven by a 10% increase in software sales, which reached $7.92 billion. The company also reported a net income of $2.92 billion in Q4 2024 and projected at least 5% revenue growth in 2025.
IBM’s withdrawal from West Africa leaves uncertainty about its long-term impact on businesses and government partnerships. While MIBB’s takeover may bring new opportunities for innovation and support, companies that have relied on IBM’s services will need to navigate the transition carefully.
As the shift unfolds in the coming months, the African technology landscape will adjust to a new operational structure, potentially reshaping competition and service delivery across the region.
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