U.S. Tech Giant IBM Exits Nigeria, Ghana, Others
The transition aligns with a new operating model that IBM will implement in select African countries, effective 1 April 2025.
International Business Machines (IBM) has announced plans to exit Nigeria, Ghana, and several key African markets, transferring its regional operations to MIBB, a subsidiary of Midis Group, a multinational information technology (IT) and telecommunications conglomerate.
The transition aligns with a new operating model that IBM will implement in select African countries, effective 1 April 2025.
MIBB will be responsible for marketing and selling IBM’s products and services across 36 African countries.
This includes direct access to IBM’s software, hardware, cloud, and consulting services.
IBM stated in an email to TechCabal that MIBB would oversee operations, support, and customer relationships in the region.
Having been present in Nigeria for over 50 years, IBM played a significant role in the country’s technology landscape.
It provided infrastructure and consulting services to major sectors such as banking, telecommunications, oil and gas, and government.
The company’s high-end storage and computing solutions were widely utilised by major financial institutions like Zenith Bank.
However, IBM’s market share in Nigeria declined due to rising competition from companies such as Dell and Huawei, which have expanded their presence in the banking sector.
Beyond Africa, IBM has been dealing with global financial challenges. In 2024, the company reported a 2% decline in consulting revenue to 5.18 billion United States dollars (USD), while infrastructure sales dropped by 8%.
Despite these struggles, IBM’s overall revenue increased by 1% to reach 17.55 billion USD, driven by a 10% growth in software sales, which climbed to 7.92 billion USD.
IBM also posted a net income of 2.92 billion USD in the fourth quarter and projected at least a 5% revenue growth in 2025, supported by an expected free cash flow of 13.5 billion USD.
IBM’s withdrawal from West Africa signals the end of its direct operations in the region, leaving uncertainty regarding its long-term impact on local businesses and government partnerships.
While MIBB’s takeover may bring fresh opportunities for innovation and support, businesses that have depended on IBM’s products and services will have to adapt to the transition.
The full effects of this shift will unfold in the coming months as the African technology ecosystem adjusts to the new operational structure.
