Sylvia Duruson
IBM has announced the transfer of its operations across multiple African markets to MIBB, a Midis Group subsidiary. The transition affects 36 African countries, including major markets like Nigeria and Ghana. The handover takes effect from April 1, 2025, marking a significant change in IBM’s half-century presence across the continent.
MIBB inherits direct access to IBM’s comprehensive portfolio, including software, hardware, cloud services, and consulting offerings. The Midis Group subsidiary will manage IBM’s existing customer relationships while marketing these services throughout their extensive African network. This arrangement aims to maintain service continuity while potentially expanding market reach.
IBM’s legacy in Nigeria spans over five decades, during which the company established deep roots in critical sectors. Their technology infrastructure and consulting services became fundamental to banking, telecommunications, oil and gas, and government operations. Zenith Bank, among other financial institutions, relied heavily on IBM’s high-end storage and computing solutions.
Recent years have brought increased competition from technology providers like Dell and Huawei, particularly in Nigeria’s banking sector. These companies have steadily expanded their market presence, affecting IBM’s traditional client base. The shift coincides with IBM’s global financial performance changes, including a 2% decline in consulting revenue to $5.18 billion and an 8% drop in infrastructure sales.
Despite these challenges, IBM’s overall financial health shows resilience. The company achieved a 1% revenue increase, reaching $17.55 billion, primarily driven by software sales growth of 10% to $7.92 billion. Their fourth-quarter performance yielded a net income of $2.92 billion, with projections indicating at least 5% revenue growth in 2025 and expected free cash flow of $13.5 billion.
The transfer to MIBB represents a new chapter in Africa’s technology landscape. While IBM steps back from direct operations, their technology and services remain accessible through MIBB’s distribution network. This strategic realignment affects numerous business partnerships and government collaborations across the continent, introducing a new dynamic to Africa’s evolving technology ecosystem.
