International Business Machines Corp
IBMQ2 2023(IBM Q1 FY2023)Estimated2.5% AI
AI Revenue %
2.5%
AI Fair Value
$2.9B
AI Revenue (Q)
$356.3M
Total Revenue (Q)
$14.3B
Source: SEC EDGAR 10-Q Filing
View 10-Q on SEC.govAnalysis
IBM reported Q1 total revenue of $14,252M. Segments: Software $5,921M, Consulting $4,962M, Infrastructure $3,098M, Financing $196M. No AI-specific revenue is disclosed. Acquisitions this quarter (StepZen, Uptake Technologies ASL, NS1) were focused on APIs, industrial data analytics, and network automation -- tangentially AI-related but primarily cloud/data infrastructure. IBM was preparing to launch watsonx (announced May 2023, GA in Q2/Q3). The pre-watsonx period shows growing investment in AI capabilities. Watson legacy products plus early AI consulting work. Slight uptick from Q4 2022 as AI interest accelerates. Conservative estimate: ~$356M AI revenue. $356M / $14,252M = 2.5%.
Analyzed by claude-opus-4-6
Quoted Figures
Total revenue $14,252M; Software $5,921M, Consulting $4,962M, Infrastructure $3,098M, Financing $196M
Segment Information
Each acquisition is expected to enhance the company s portfolio of products and services capabilities and further advance IBM s hybrid cloud and AI strategy.
Acquisitions & Divestitures
AI Products Identified (Ring 1)
Watson AssistantWatson DiscoveryWatson StudioWatson Machine Learning
AI-Enabled Items (Ring 2 — Not Counted)
These items use AI but are not counted in the AI revenue estimate because they primarily serve non-AI functions.
Red Hat OpenShiftCloud Pak for DataIBM Consulting
Confidence Tier
EstimatedNo direct AI revenue disclosure — estimated from product mix