Business Segments · Cost
Software — Cost
International Business Machines Software — Cost increased by 16.7% to $1.22B in Q1 2026 compared to the prior quarter. This increase may warrant attention — for this metric, lower values are generally preferred.
Analysis
StatementSegment
CategoryEfficiency
SignalLower is better
VolatilityStable
First reportedQ1 2025
Last reportedQ1 2026Apr 23, 2026
Rolls up toTotal Cost of Revenue
How to read this metric
An increase relative to revenue may signal rising development costs or inefficiencies, while a decrease suggests improved operational leverage.
Detailed definition
The direct costs associated with developing, maintaining, and delivering software products and services, including perso...
Peer comparison
Commonly reported as 'Cost of Software Revenue' or 'Cost of Goods Sold' for software segments.
Metric ID:
ibm_segment_software_costHistorical Data
2 periods
| Q1 '25 | Q1 '26 | |
|---|---|---|
| Value | $1.04B | $1.22B |
| QoQ Change | — | +16.7% |
| YoY Change | — | +16.7% |
Range$1.04B – $1.22B
Avg YoY Growth+16.7%
Median YoY Growth+16.7%
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Frequently Asked Questions
- What is International Business Machines's software — cost?
- International Business Machines (IBM) reported software — cost of $1.22B in Q1 2026.
- What does software — cost mean?
- The direct expenses incurred to produce and deliver software products.