IBM had 15 of its federal contracts canceled due to DOGE-related cuts during the first quarter of 2025, according to reporting from Reuters and Bloomberg. These cuts amount to $100 million in future payments, per Bloomberg. Federal contracts represent between 5% and just under 10% of IBM’s consulting practice.

International Business Machines Corp. fell the most in a year on Thursday after reporting results that showed strong profit while also suggesting that economic uncertainty and US government cost cuts may dent the company’s business.

(IBM) shed more than 6 % in after‑hours trading on Wednesday after disclosing that 15 U.S. federal contracts—worth roughly $100 million—were canceled or paused under the Trump administration’s Department of Government Efficiency (DOGE) austerity initiative.