IBM plans shopping spree

IBM is preparing itself for a shopping spree for small-to-medium sized businesses. 

Senior VP Steve Mills told Bloomberg the software business, already worth $22.5 billion, needs to grow some more. And the way forward is in acquisitions.

The whispers suggest IBM will be spending in the region of $100 to $300 million to get what it wants. 

IBM is on a bit of a winning streak at the moment. Palmisano’s pet project in scrapping the PC business and focusing on everything else seems to have paid off, having walked ahead of Microsoft in a yearly valuation, to take second spot for technology company market value – behind Apple.

IBM says its focus for growth will sit with software. Bloomberg reports the company has made 50 software buys since 2006 in a wide variety of areas, citing analysts who agree that it has gone with the right purchases. 

Either way, it doesn’t look like IBM is setting itself up for a fall – with Palmisano keeping his eye on the slow-and-steady approach to trouncing the rivals. With 100 years to get its act together, Palmisano seems to have done a lot of the groundwork in just five.