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Tech Stocks Rising Today; IBM Increasing Its Bet on Cloud Computing, Shares Add 1%

By: MT Newswires
Posted: 2/24/2014 12:19:00 PM
Referenced Stocks: IBM;F;MSFT

Top Tech Stocks

MSFT -0.37%

AAPL -0.31%

IBM +1.15%

CSCO +0.24%

GOOG +1.25%

Technology stocks were higher Monday, with shares of technology companies in the S&P 500 adding around 0.8% today.

In company news, shares of International Business Machines Corp. ( IBM ) are higher in Monday trading after the tech giant said it was expanding its cloud services to lure customers to its SoftLayer Technologies Inc. business.

Big Blue plans to spend more than $1 billion on cloud software development through 2015, a double-digit percentage increase from the past two years. The move increases IBM's bet on SoftLayer following its $2 billion acquisition last year and committing $1.2 billion in January to add 15 new data centers.

IBM sales have declined during each of the past seven quarters as customers forego hardware purchases and increasingly rely on the cloud instead of buying their own servers.

Shares rose about 1.1% in recent trade at $184.88 apiece, staying less than 10 cents from its best level for the session. The stock has a 52-week range of $172.19 to $215.90 a share.

In other sector news,

(+) BBRY, (+8.3%) Ford Motor Co. ( F ) reportedly will base its next-generation in-vehicle Sync system using BBRY's QNX system to make mobile phone calls and play music, replacing Microsoft ( MSFT ) software, people briefed on the decision told Bloomberg.

(+) VC, (+1.1%) Forms strategic alliance with OpenSynergy, a specialist in embedded automotive systems, to develop consumer electronics in auto infotainment applications.