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IBM closes $34 bil. deal to buy Red Hat

Reuters International Business Machines Corp. said Tuesday it has closed its $34 billion acquisition of software company Red Hat Inc., as it looks to ramp up its cloud computing business.

Underscoring the drive into high-margin businesses, IBM in October agreed to buy Red Hat, the company’s biggest acquisition in its more than 100-year history.

Ginni Rometty, IBM chief executive since 2012, has steered the company toward faster-growing segments such as cloud, software and services and away from traditional hardware products, but not without a bumpy journey.

The newer areas of focus have sometimes underwhelmed investors.Speech

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