IBM Faces Federal Contract Setbacks Amid DOGE Policy Cuts

April 23, 2025, 6:20 pm

During its quarterly update, IBM disclosed that 15 federal contracts—amounting to nearly $100 million—were cancelled following DOGE-related government efficiency cuts. Although the tech giant reported sales topping estimates and maintained full-year guidance, the loss of these key contracts remains a significant setback, stirring concerns about future federal revenue streams.

techinasia.com / IBM reports 15 contracts canceled due to DOGE cuts

To restore confidence, IBM issued rare quarterly guidance and reported stronger-than-expected Q1 results.

theregister.com / IBM dragged down by DOGE contract cancellation roulette

Big Blue downplays impact of Elon-gated cost-cutting IBM beat Wall Street's expectations for both revenue and income in the first quarter of 2025, but its stock price still dropped more than six percent in after-hours trading.…

techcrunch.com / IBM affected by DOGE cuts, downplays impact during Q1 earnings call

Tech and consulting giant IBM was not immune to the Department of Government Efficiency’s (DOGE) cuts. IBM had 15 of its federal contracts cancelled due to DOGE-related cuts during the first quarter of 2025, according to reporting from Reuters and Bloomberg. These cuts amount to $100 million in...

bloomberg.com/technology / IBM Posts Sales Topping Estimates, Says DOGE Hit 15 Contracts - Bloomberg.com

IBM Posts Sales Topping Estimates, Says DOGE Hit 15 Contracts Bloomberg.com

permalink / 4 stories from 4 sources in 6 days ago #doge #earnings #technology #business #government #stockmarket

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IBM Faces Federal Contract Setbacks Amid DOGE Policy Cuts

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