IBM Expands Operations in Brazil with Three New Branches

Increases footprint in the country to over 30 branches in line with rapid business growth in cities beyond Rio and Sao Paulo

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Sao Paulo, Brazil - 09 Oct 2012: IBM (NYSE: IBM) has today announced the opening of three new branches across Brazil as the company extends its push into underserved territories in emerging markets and increases its support for clients and partners.

With the new offices in the cities of Joinville, Natal and Sao Luis, IBM has increased its footprint to over 30 Brazilian branches – an increase of over 200 percent in three years. IBM is also expanding its office in the city of Salvador with new expertise and facilities in the area of natural resources. 

IBM is currently engaged in a geographic expansion program across Brazil aimed at tapping into high-growth cities and regions outside of the major urban centers of Rio de Janeiro and Sao Paulo. The investment covers the opening of new branches and facilities, the recruitment of new staff and investment in training, marketing and citizenship programs. IBM is also working to strengthen its business partner network to over 2,000 partners across Brazil to help customers gain the maximum return on their technology investments. 

“Brazil is a key market for IBM and an important source of revenue and skills. However, the nature of the business landscape in Brazil is changing - we have noticed a marked shift with a growing number of technology adopters outside of major cities who are demanding access to intelligent solutions to grow their businesses,” said Rodrigo Kede, General Manager, IBM Brazil. 

According to analysts, Brazil is currently one of the best-performing global IT markets in the world with further strong growth expected through investments related to the 2014 FIFA World Cup and 2016 Summer Olympics which are both taking place in Brazil. Investment in the country’s National Broadband Plan, the Plano Nacional de Banda Larga, is fuelling further growth. 

In the regions beyond major cities, IBM is experiencing growing demand for its solutions and services especially in specialized consulting, business analytics, cloud computing and data center infrastructure outsourcing. 

Northeastern Brazil, where Salvador, Sao Luis and Natal are located, has been one of Brazil’s strongest performing regions with established agricultural, textile and food industries. Increasing demand for IT solutions and services is expected to peak as the two cities prepare for the World Cup leading to a boom in the development, construction and real estate sectors. 

In addition to acting as a regional hub office, IBM’s new facility in Salvador will house an arm of the Natural Resources Solutions Lab which IBM recently opened in Sao Paulo - focusing on developing solutions for the natural resources industry, such as mining and oil and gas.  

In the Santa Catarina region to the south, Joinville has also experienced strong growth becoming an important industrial center. Clients such as food company Duas Rodas, industrial supplier Hennings and textile manufacture Haco Etiquetas have acquired IBM solutions – respectively implemented by IBM business partners Power Solutions, Quick Soft and Technology Lume - to modernize their IT infrastructure to support growth plans.  

With a long-standing presence in Brazil dating back to 1931 when IBM opened its first office outside of the US in the city of Sao Paulo, IBM today has a working relationship with thousands of customers across the country.  

For example, earlier this year IBM signed a pivotal agreement with Brazil’s EBX Group which develops and manages business activities in the mining, logistics, oil and gas, real estate, energy, renewable resources, and entertainment sectors.  EBX Group has outsourced its IT operations to IBM and IBM has invested in SIX Automação - one of EBX Group’s subsidiary companies - and both are collaborating on research to create a Joint Industry Solutions Center. 

IBM is also working with CPFL Energia Holdings - the largest privately owned energy provider in the country - to make its energy networks more efficient and resilient.  

Brazil is also home to one the IBM Global Delivery Center in Hortolandia, and the company’s ninth Research lab, opened in 2011 in Sao Paulo.


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