IBM to buy HashiCorp in $6.4 billion deal to expand in cloud

the company said on Wednesday, expanding its cloud-based software products to tap into an AI-powered boom in demand.

IBM will pay $35 per share for HashiCorp, a 42.6% premium to Monday's closing price IBM will pay $35 per share for HashiCorp, a 42.6% premium to Monday's closing price

HashiCorp's shares rose more than 4% in extended trading on Wednesday while IBM fell 7% as the company separately reported first-quarter revenue marginally below estimates. HashiCorp's shares rose more than 4% in extended trading on Wednesday while IBM fell 7% as the company separately reported first-quarter revenue marginally below estimates.

The Big Blue's "AI book of business" crossed $1 billion in the first quarter, growing sequentially. The book comprises actual sales and bookings from various offerings The Big Blue's "AI book of business" crossed $1 billion in the first quarter, growing sequentially. The book comprises actual sales and bookings from various offerings

"This is a smart deal for IBM. They're buying a leader and it complements their existing portfolio," Stephen Elliot, a vice president at market research firm International Data Corp, said