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IBM: In a State: Page 3 of 3

Despite the good news for IBM, the supplier, which realizes more than 50 percent of its revenue in services that generate roughly $10 billion per quarter, hasn't been signing new contracts as rapidly as it hoped. Last quarter, for instance, services signings were down roughly 5 percent year on year.

IBM also has had its share of woes in state government business. Last month, the government of North Carolina reported its own project to revamp school system IT after ditching IBM in a well-publicized fiasco for Big Blue. (See IT Project Reports on Life After IBM.)

Mary Jander, Site Editor, Byte and Switch

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