“In consulting, our backlog levels and momentum in GenAI with backlog penetration over 25% support an acceleration in revenue growth to low to mid-single digits for the year.”

In context

“diversified portfolio and a multiyear execution of our strategic repositioning. Consistent with our Investor Day model, we expect to sustain constant currency revenue growth of 5% plus in 2026. And free cash flow to be up about $1 billion year over year. Growing high single digits. Our revenue expectations are underpinned by our durable and accelerating software business. Which we expect to grow 10% this year. This acceleration is led by organic growth. Driven by the strength of our recurring revenue base, our shift to higher growth end markets, GenAI traction, M&A growth synergies, and monetization of our record Z placement with an inflection in transaction processing. A tremendous source of profitability and free cash flow for IBM. And we continue to expect Confluent will close by 2026. In consulting, our backlog levels and momentum in GenAI with backlog penetration over 25% support an acceleration in revenue growth to low to mid-single digits for the year. The powerful combination of our integrated platforms services as a software model, and client zero experience allow us to deliver differentiated value to clients. We enter 2026 three quarters into the Z17. We expect infrastructure revenue to be down low single digits. About a half a point impact to IBM. With Z growth in the first quarter balanced by product cycle dynamics throughout the rest of the year. The strength of our Z placement fuels our flywheel for growth. With its attractive three to four x stack multiplier across IBM. Let me now touch on our GenAI book of business before I turn to profit. We have been reporting our cumulative Gen AI book of business since 2023. When it was in the low hundreds of millions of dollars. We exited 2025 with the Gen AI book of business greater than”