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IBM to buy Confluent for $11 billion to expand AI services

SUMMARY

IBM is acquiring Confluent for $11 billion, marking one of its largest takeovers and a significant investment in real-time data-streaming technology essential for AI applications.

The deal, at $31 a share, is expected to close by mid-2026. Following the announcement, Confluent shares rose to $30.66, while IBM's stock fell 1.7%.

Confluent provides a platform for real-time data analysis, used by companies like Michelin and Instacart. IBM aims to pivot towards AI under CEO Arvind Krishna, with software now accounting for nearly half of its revenue.

This acquisition builds on a previous partnership between the two companies.


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