Power Systems Has A Great Quarter; System Z, Not So Much
July 27, 2026 Timothy Prickett Morgan
We have been waiting for a long time for Big Blue’s Power Systems business to get a big bump, and it looks like it has finally happened. And a handful of Fortune 100-level companies deferred their System z17 mainframe purchases as they allocated budget to buying servers for AI and generic – generally X86 machines, and certainly not from IBM – as CPU, GPU, DRAM memory, and flash storage prices are all skyrocketing. And last week, when IBM warned about this push out of System z sales, Wall Street predictably freaked all the way out, sending IBM’s stock down 25 …
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