IBM (NYSE:IBM) shares have rallied in 2025, driven by growing investor confidence in the company's artificial intelligence strategy. CEO Arvind Krishna revealed that IBM now holds a $6 billion AI “book of business”, primarily powered by its Granite model suite and collaborations with firms like Mistral and Meta (NASDAQ:META).

IBM's AI offering helps clients quickly develop custom generative AI agents, aiming to simplify enterprise deployment of intelligent assistants. This push into AI aligns with broader strategic investments, including a $150 billion commitment to U.S. tech infrastructure and quantum computing development.

Key Points:

• AI Book of Business: $6B and growing

• AI agents: Buildable in “minutes” using IBM and third-party models

• Quantum & AI investments: $150B pledged in the U.S.

• Consulting revenue: Down 2% amid tariff-related spending slowdown

• Federal contract impact: $100M in deals shelved due to U.S. budget cuts

Despite short-term weakness in consulting, IBM reaffirmed its 5% constant-currency revenue growth target for 2025.

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