IBM has transitioned into an enterprise services&#x2F;consulting firm over the past 15 years or so.  Their game plan is to get huge $$ contracts from Fortune 50 companies and government agencies, which is a long and costly process.<p>This kind of business is extremely hard to scale, compared to a true software or hardware company innovating and licensing&#x2F;selling products.  IBM does have a ton of resources behind Watson, but that&#x27;s still basically an enterprise services contract sale, and not much of a cloud product.