IBM Brings the Speed of Light to the Generative AI Era with Optics Breakthrough

New co-packaged optics innovation could replace electrical interconnects in data centers to offer significant improvements in speed and energy efficiency for AI and other computing applications

YORKTOWN HEIGHTS, N.Y. – Dec. 9, 2024: IBM has unveiled breakthrough research in optics technology that could dramatically improve how data centers train and run generative AI models. Researchers have pioneered a new process for co-packaged optics (CPO), the next generation of optics technology, to enable connectivity within data centers at the speed of light through optics to complement existing short reach electrical wires. By designing and assembling the first publicly announced successful polymer optical waveguide (PWG) to power this technology, IBM researchers have shown how CPO will redefine the way the computing industry transmits high-bandwidth data between chips, circuit boards, and servers.

Today, fiber optic technology carries data at high speeds across long distances, managing nearly all the world’s commerce and communications traffic with light instead of electricity. Although data centers use fiber optics for their external communications networks, racks in data centers still predominantly run communications on copper-based electrical wires. These wires connect GPU accelerators that may spend more than half of their time idle, waiting for data from other devices in a large, distributed training process which can incur significant expense and energy.

IBM researchers have demonstrated a way to bring optics’ speed and capacity inside data centers. In a technical paper, IBM introduces a new CPO prototype module that can enable high-speed optical connectivity. This technology could significantly increase the bandwidth of data center communications, minimizing GPU downtime while drastically accelerating AI processing. This research innovation, as described, would enable:

  • Lower costs for scaling generative AI through a more than 5x power reduction in energy consumption compared to mid-range electrical interconnects, while extending the length of data center interconnect cables from one to hundreds of meters.
  • Faster AI model training, enabling developers to train a Large Language Model (LLM) up to five times faster with CPO than with conventional electrical wiring. CPO could reduce the time it takes to train a standard LLM from three months to three weeks, with performance gains increasing by using larger models and more GPUs.
  • Dramatically increased energy efficiency for data centers, saving the energy equivalent of 5,000 U.S. homes’ annual power consumption per AI model trained.

“As generative AI demands more energy and processing power, the data center must evolve – and co-packaged optics can make these data centers future-proof,” said Dario Gil, SVP and Director of Research at IBM. “With this breakthrough, tomorrow’s chips will communicate much like how fiber optics cables carry data in and out of data centers, ushering in a new era of faster, more sustainable communications that can handle the AI workloads of the future.”

Eighty times faster bandwidth than today’s chip-to-chip communication

In recent years, advances in chip technology have densely packed transistors onto a chip; IBM’s 2 nanometer node chip technology can contain more than 50 billion transistors. CPO technology aims to scale the interconnection density between accelerators by enabling chipmakers to add optical pathways connecting chips on an electronic module beyond the limits of today’s electrical pathways. IBM’s paper outlines how these new high bandwidth density optical structures, coupled with transmitting multiple wavelengths per optical channel, have the potential to boost bandwidth between chips as much as 80 times compared to electrical connections.

IBM’s innovation, as described, would enable chipmakers to add six times as many optical fibers at the edge of a silicon photonics chip, called “beachfront density,” compared to the current state-of-the-art CPO technology. Each fiber, about three times the width of a human hair, could span centimeters to hundreds of meters in length and transmit terabits of data per second. The IBM team assembled a high-density PWG at 50 micrometer pitch optical channels, adiabatically coupled to silicon photonics waveguides, using standard assembly packaging processes.

The paper additionally indicates that these CPO modules with PWG at 50 micrometer pitch are the first to pass all stress tests required for manufacturing. Components are subjected to high-humidity environments and temperatures ranging from -40°C to 125°C, as well as mechanical durability testing to confirm that optical interconnects can bend without breaking or losing data. Moreover, researchers have demonstrated PWG technology to an 18-micrometer pitch. Stacking four PWGs would allow for up to 128 channels for connectivity at that pitch.

IBM’s continued leadership in semiconductor R&D

CPO technology enables a new pathway to meet AI’s increasing performance demands, with the potential to replace off-module communications from electrical to optical. It continues IBM’s history of leadership in semiconductor innovation, which also includes the first 2 nm node chip technology, the first implementation of 7 nm and 5 nm process technologies, Nanosheet transistors, vertical transistors (VTFET), single cell DRAM, and chemically amplified photoresists.

Researchers completed design, modeling, and simulation work for CPO in Albany, New York, which the U.S. Department of Commerce recently selected as the home of America’s first National Semiconductor Technology Center (NSTC), the NSTC EUV Accelerator. Researchers assembled prototypes and tested modules at IBM’s facility in Bromont, Quebec, one of North America’s largest chip assembly and test sites. Part of the Northeast Semiconductor Corridor between the United States and Canada, IBM’s Bromont fab has led the world in chip packaging for decades.

Wasabi Expands Data Management Offerings for UK Customers

Liverpool Football Club will leverage Wasabi AiR to securely power AI-driven content

BOSTON —Wasabi Technologies today announced it is expanding their data management offerings for customers with the addition of IBM  Cloud’s London data center to Wasabi’s storage regions. Wasabi’s ability to leverage IBM’s Multizone Region (MZR) addresses the need to help joint customers address their evolving regulatory requirements and leverage AI and other emerging technologies with a secured, enterprise cloud platform.

The influx of data associated with AI has the potential to fuel numerous business innovations, but it also introduces complexities where data resides and requires regulatory and global compliance considerations. Wasabi’s deployment of a new storage region in IBM’s London MZR aims to help new and existing UK customers utilizing Wasabi AiR, an intelligent media storage solution for the sports, media, and entertainment segment address their data residency requirements. Wasabi AiR customers such as Liverpool Football Club (LFC) in the Premier League, will be able to access and leverage key sports data, securely across a hybrid cloud infrastructure and unlock the joint power of this expansion.  This underscores Wasabi’s role as a trusted Official Partner and provider for LFC, reinforcing Wasabi’s strategic positioning within the industry.

IBM and Wasabi are both committed to helping clients innovate with AI, while addressing the data management and resiliency needs of their workloads. IBM Cloud MZRs are composed of three or more data center zones with each being an Availability Zone. This is designed so that a single failure event can affect only a single data center rather than all zones – the aim is to deliver consistent cloud services and greater resiliency. Clients hosting workloads on IBM Cloud MZRs in any country can run mission-critical workloads to keep business up and running.

“Wasabi’s expanded footprint with IBM’s London data region allows Wasabi to address the evolving regulatory and performance needs of our UK customers,” said Marty Falaro, executive vice president and chief operating officer of Wasabi. “By leveraging IBM’s Multizone Region infrastructure, we’re able to support AI-driven requirements with secured, high-performance storage. We’re excited to work closely with IBM to deliver scalable data solutions that empower organizations to unlock the full potential of their data.”

Last year, IBM and Wasabi began collaborating to drive data innovation across hybrid cloud environments for sports, media and entertainment clients such as the Boston Red Sox. This collaboration is designed to enable enterprises to run applications across any environment—on premises, in the cloud or at the edge—and help users to cost efficiently access and use key business data and analytics in real time.

“We’re excited to support Wasabi’s growth into the IBM Cloud London MZR,” Alan Peacock, general manager, IBM Cloud. “We’ve invested to help ensure partners have access to a diverse set of capabilities in the regions they operate in. Our work with Wasabi will enable their clients to benefit from the security, resiliency and performance capabilities of our cloud platform.”

IBM Expands its AI Accelerator Offerings; Announces Collaboration with AMD

IBM Cloud to Deploy AMD Instinct™ MI300X Accelerators to Support Performance for Generative AI Workloads and HPC Applications

November 18, 2024 – Armonk, NY – IBM and AMD have announced a collaboration to deploy AMD Instinct MI300X accelerators as a service on IBM Cloud. This offering, which is expected to be available in the first half of 2025, aims to enhance performance and power efficiency for Gen AI models such as and high-performance computing (HPC) applications for enterprise clients. This collaboration will also enable support for AMD Instinct MI300X accelerators within IBM’s watsonx AI and data platform, as well as Red Hat® Enterprise Linux® AI inferencing support.

“As enterprises continue adopting larger AI models and datasets, it is critical that the accelerators within the system can process compute-intensive workloads with high performance and flexibility to scale,” said Philip Guido, executive vice president and chief commercial officer, AMD. “AMD Instinct accelerators combined with AMD ROCm software offer wide support including IBM watsonx AI, Red Hat Enterprise Linux AI and Red Hat OpenShift AI platforms to build leading frameworks using these powerful open ecosystem tools. Our collaboration with IBM Cloud will aim to allow customers to execute and scale Gen AI inferencing without hindering cost, performance or efficiency.”

“AMD and IBM Cloud share the same vision around bringing AI to enterprises. We’re committed to bringing the power of AI to enterprise clients, helping them prioritize their outcomes and ensuring they have the power of choice when it comes to their AI deployments,” said Alan Peacock, General Manager of IBM Cloud. “Leveraging AMD’s accelerators on IBM Cloud will give our enterprise clients another option to scale to meet their enterprise AI needs, while also aiming to help them optimize cost and performance.”

IBM and AMD are collaborating to deliver MI300X accelerators as a service on IBM Cloud to support enterprise clients leveraging AI. To help enterprise clients across industries, including those that are heavily regulated, IBM and AMD intend to leverage IBM Cloud’s security and compliance capabilities.

  • Support for Large Model Inferencing: Equipped with 192GB of high-bandwidth memory (HBM3), AMD Instinct MI300X accelerators offer support for the largest model inferencing and fine tuning. The large memory capacity can also help customers run larger models with fewer GPUs, potentially lowering costs for inferencing.
  • Enhanced Performance and Security: Offering AMD Instinct MI300X accelerators as a service on IBM Cloud Virtual Servers for VPC, as well as through container support with IBM Cloud Kubernetes Service and IBM Red Hat OpenShift on IBM Cloud, can help optimize performance for enterprises running AI applications.

For generative AI inferencing workloads, IBM plans to enable support for AMD Instinct MI300X accelerators within IBM’s watsonx AI and data platform, providing watsonx clients with additional AI infrastructure resources for scaling their AI workloads across hybrid cloud environments. Additionally, Red Hat Enterprise Linux AI and Red Hat OpenShift AI platforms can run Granite family large language models (LLMs) with alignment tooling using InstructLab on MI300X accelerators.

IBM Cloud with AMD Instinct MI300X accelerators are expected to be generally available in the first half of 2025. Stay tuned for more updates from AMD and IBM in the coming months.

To learn more about IBM’s GPU and Accelerator offerings, visit: https://www.ibm.com/cloud/gpu

Statements regarding IBM’s future direction and intent are subject to change or withdrawal without notice and represent goals and objectives only.

IBM “AI in Action” Report Identifies Key Characteristics of Businesses That Consider Themselves Leaders in AI

NEW YORK, Nov. 8, 2024 /PRNewswire/ — IBM (NYSE: IBM) released a new report called AI in Action that highlights artificial intelligence strategies of businesses considered “AI Leaders.” The report is based on a survey, conducted on behalf of IBM by Harris Poll, of 2,000 companies across the U.S., U.K., India, Japan and Germany.

According to the findings, of the 2,000 businesses surveyed, 15% reported being far ahead of their peers when it comes to leveraging AI to maximize value across their business. The report defines these businesses as “AI Leaders.” The remaining 85% of respondents were classified as “Learners.”

“Of the organizations that were considered AI Leaders, two-thirds reported that AI has already driven 25% or greater improvement in their revenue growth rate,” said Shobhit Varshney, VP & Sr. Partner, Americas AI Leader, IBM Consulting. “We dove into the data to uncover how these AI Leaders were implementing AI within their businesses that could help others learn from their success.”

The report identified four key findings that may explain the outcomes achieved by AI Leaders:

Investment: 71% of AI Leaders describe their organizations as being very aggressive with respect to making investments in AI, compared to 19% of Learners.
AI Data Management: AI Leaders were far more likely to express confidence in their ability to access and effectively manage their organization’s data to support AI initiatives (61% vs. 11% of Learners).
Strategic Focus & Alignment: AI Leaders were more likely to report that their C-suite was fully aligned with IT leadership on what it would take to achieve AI maturity (72% vs. 36% of Learners). Further, data found that AI Leaders were 80% more likely to invest in four use cases: customer experience, IT operations and automation, virtual assistants and cybersecurity.
Ability to Customize: AI Leaders were more than twice as likely to express confidence in their ability to customize their AI efforts to achieve optimal value. (72% of Leaders vs. 33% of Learners) In practice, 61% of Leaders reported using APIs to create their own solutions (vs. 28% of Learners).
For the full report, including country-specific data, visit https://www.ibm.com/think/reports/ai-in-action. Is your company an AI Leader? Click HERE to take the quiz and find out.

The research for this report was conducted online by The Harris Poll on behalf of IBM from 20 February through 24 April 2024. The survey was conducted among IT and business decision-makers in the US, Japan, Germany, the UK and India. The decision-makers had to possess a deep knowledge of their company’s AI-based tools or processes in all their forms and work for large companies with either an annual revenue of more than USD 500 million or a company size of more than 1,000 employees.

About IBM

IBM is a leading provider of global hybrid cloud and AI, and consulting expertise. We help clients in more than 175 countries capitalize on insights from their data, streamline business processes, reduce costs and gain the competitive edge in their industries. Thousands of government and corporate entities in critical infrastructure areas such as financial services, telecommunications and healthcare rely on IBM’s hybrid cloud platform and Red Hat OpenShift to affect their digital transformations quickly, efficiently and securely. IBM’s breakthrough innovations in AI, quantum computing, industry-specific cloud solutions and consulting deliver open and flexible options to our clients. All of this is backed by IBM’s long-standing commitment to trust, transparency, responsibility, inclusivity and service.

About The Harris Poll

The Harris Poll is one of the longest-running market research firms in the US, tracking public opinion, motivations and social sentiment since 1963. It’s now part of Harris Insights & Analytics, a global consulting and market research firm that strives to reveal the authentic values of modern society to inspire leaders to create a better tomorrow. It works with clients in 3 primary areas: building a 21st-century corporate reputation, crafting brand strategy and performance tracking, and earning organic media through public relations research. Its mission is to provide insights and advisory to help leaders make the best decisions possible.

IBM Selected as Official Fan Engagement and Data Analytics Partner for Scuderia Ferrari HP

ARMONK, N.Y., Nov. 7, 2024 /PRNewswire/ — IBM (NYSE:IBM) today announced it has entered into a multi-year agreement with Ferrari S.p.A. to become the official Fan Engagement and Data Analytics Partner of Scuderia Ferrari HP, the most renowned Formula 1 team, starting in 2025.

The partnership brings together two iconic and enduring brands, both driven by a passion for innovation and a commitment to progress. IBM and Scuderia Ferrari HP will conceive, develop, and deliver world-class digital experiences to bring racing enthusiasts closer than ever to the racing team.

IBM and Scuderia Ferrari HP will develop a fully reimagined mobile app to be unveiled during the 2025 season. This includes applying IBM’s technology and consulting expertise to analyze and transform Ferrari’s massive volume and variety of data – both current and historical – into custom insights, personalized content, and innovative features designed to supercharge the fan experience. IBM will also provide its new cutting-edge technology and data-driven solutions to increase speed and production.

“In Formula 1, seconds matter whether it’s on or off the track. The ability for Scuderia Ferrari HP to quickly deliver world-class insights from their abundant data will only happen through the benefit of technology,” said Jonathan Adashek, Senior Vice President of Marketing and Communications at IBM. “Bringing together its passionate fanbase, historic prominence, and the latest innovative data and analytics solutions uniquely positions Scuderia Ferrari HP to grow global engagement while also modernizing and scaling its digital operations.”

“We are proud to launch this partnership with IBM, one of the most prestigious companies in the world offering technology and consulting expertise,” said Lorenzo Giorgetti, Chief Racing Revenue Officer at Ferrari. “Our two companies share values such as the pursuit of excellence and the desire to always keep pushing the boundaries in our respective spheres of activity, as well as combining our technology and skills to pursue the highest quality and cutting-edge technology. IBM, like Ferrari, seeks out talented people to grow its team and it is therefore the perfect partner to bring a new dimension to motorsport enthusiasts and our loyal fans at a time when Formula 1 has never been so popular with youngsters. The collaboration with IBM will see us offering Scuderia Ferrari HP fans unprecedented experiences that will open the doors of the Scuderia to the outside world, as well as collaborating together on many other fronts to create activations that will generate value for both brands.”

For more than 30 years, IBM has partnered with some of the most iconic sporting organizations – including Wimbledon, the US Open, the Masters Tournament and ESPN Fantasy Football – working side-by-side to modernize their digital infrastructure and bring these marquee events to life for millions of fans around the world. These partnerships are powered by the same data and analytics technology used by IBM clients across industries to build enhanced customer experiences, help their employees reach new levels of productivity and make more informed, data-driven business decisions.

Cognizant Launches Global FinOps Center of Excellence, New Solutions Built with IBM Technology to Tackle Enterprise Modernization Challenges

TEANECK, N.J., Nov. 6, 2024 – Cognizant (NASDAQ: CTSH) and IBM (NYSE: IBM) announced the debut of a new FinOps[1] Center of Excellence (CoE), built on IBM’s leading FinOps software and Cognizant’s cloud and developer platforms. The global innovation center harnesses the strengths of Cognizant’s industry and technology expertise, combined with IBM solutions, to help global clients address challenges, including escalating costs, around AI readiness, cloud governance and architecture modernization.

Alongside the CoE announcement, Cognizant launched extensions of its Cognizant® Skygrade™ and Flowsource™ platforms that are designed to integrate with IBM Apptio, Turbonomic, watsonx.governance and watsonx Code Assistant for Z. The solutions bring together Cognizant’s deep engineering capabilities with IBM’s powerful tools to help enterprise clients transition to modern architectures and streamline cloud management operations.

“Modern businesses face significant challenges in managing complexity, operational risks, and cost overhead due to the pervasive impact of technical debt and aging applications,” said Prasad Sankaran, EVP and Global Head, Software and Platform Engineering, Cognizant. “Cognizant and IBM are committed to offering clients the ability to effectively realize cloud and AI-native solutions at enterprise scale.”

Cognizant and IBM aim to help clients operate more efficiently and innovate quickly and responsibly by jointly focusing on the following areas:

Mainframe Modernization: Modernizing mainframe applications designed to increase agility and innovate faster through code modernization leveraging watsonx Code Assistant for Z, and supporting adoption of a hybrid cloud strategy to maximize the value of mainframe investments.
FinOps: Aiming to provide visibility and accountability over cloud costs, optimize usage, and implement real-time production adjustments to eliminate waste in multi-cloud environments.
AI Governance: Aiming to responsibly implement and drive AI governance across the enterprise, leveraging watsonx.governance to help ensure that AI systems are fair and transparent, with tools for AI quality and compliance capabilities integrated into development and operations processes.
“Optimizing cloud, AI and mainframe solutions are priorities for C-suite leaders the world over,” said Stephen Smith, General Manager, IBM Service Partner Ecosystem. “Exploiting automation and AI to reduce manual operations and accelerate productivity will help clients to realize more value from their hybrid cloud environments, reduce technology costs and the barriers to innovation.”

IBM Brings Apptio Product Portfolio to the Microsoft Cloud to Help Organizations Make Informed Technology Planning Decisions

ARMONK, N.Y.Oct. 29, 2024 /PRNewswire/ — IBM (NYSE: IBM) announced today that it is bringing the Apptio portfolio of enterprise agile planning (EAP), IT financial management, and cloud FinOps solutions to Microsoft Azure. In addition, IBM announced their global expansion of IBM Software availability on the Azure Marketplace making it easier for customers to buy software directly on the marketplace while using their Microsoft Azure Consumption Commitment.

As IT leaders grapple with growing technology budgets and managing new generative AI-fueled compute needs, they are facing increasing pressure to prove the value of their investments.

Now available on the Azure Marketplace, IBM Targetprocess EAP software helps portfolio managers and finance teams plan and manage budgets and align their workforces across various technology priorities, while applying technology business management (TBM) industry best practices. As a native software-as-a-service solution from IBM’s acquisition of Apptio, Targetprocess integrates with Azure DevOps to provide simplified management, increased efficiencies and potential cost savings by allowing clients to use Microsoft Azure Consumption Commitments.

As a leader in IDC’s MarketScape for Worldwide Value Stream Management and Agile Project and Portfolio Management and Gartner’s Enterprise Agile Planning Magic Quadrant, IBM Targetprocess enhances Azure DevOps’ capabilities, providing end-to-end visibility from the team level up. It also supports various Agile frameworks, including SAFe, and offers flexibility to align with each organization’s business practices – providing a single source of truth for tech spend and labor allocation.

IBM Expands Software Availability on the Azure Marketplace
IBM is also expanding the global availability of its software portfolio to 14 additional countries on the Azure Marketplace. IBM Software offerings will be available to clients in countries including AustraliaCanadaBelgiumDenmarkFranceGermanyIndiaItalyNetherlandsSingaporeSpainSwedenSwitzerland and the United Kingdom.

The Azure marketplace is a preferred choice for enterprise IT purchases, and IBM offerings on the Azure Marketplace enable customers to purchase software how they want to, while drawing down on their Microsoft Azure Consumption Commitment investments. This facilitates access to IBM technologies including Aspera on Cloud SaaS, Netezza SaaS, SingleStoreDB SaaS, Streamsets, IBM Planning Analytics SaaS, and webMethods Integration Suite. Additionally, watsonx.ai, watsonx.data and watsonx.governance are available as a customer managed service on the Azure Marketplace.

“Thousands of clients are already using the Apptio portfolio to optimize their IT investments, but many of our joint customers need the flexibility to use it on the Microsoft DevOps platform,” said Nick Otto, Head of Global Strategic Partnerships, IBM. “Bringing IBM Targetprocess to the Microsoft Azure Marketplace, along with expanded availability of other IBM Software around the world, enables us to support clients on their digital transformation journey with the ease and simplicity of purchasing on the marketplace.”

“Today’s announcement illustrates how IBM and Microsoft are empowering customers to efficiently use IT resources and adapt to evolving tech needs, especially with the rise of cloud-based AI innovation,” said Dinis Couto, GM, GSI Commercial Partners at Microsoft. “Our collaboration will enhance decision-making, increase productivity and enhance IT management for organizations of all sizes.”

Microsoft has also agreed to adopt Apptio’s capabilities in parts of their own organization.

IBM’s collaboration with Microsoft is grounded in a shared vision for hybrid, multi-cloud business transformation, satisfying customer needs by running the right workloads in the right places. We share a heritage and proven track record of delivering industry first innovations, and IBM is one of Microsoft’s technology and Consulting partners that provide expertise to support many of Microsoft’s product areas.

IBM also brings nearly 50 IBM Consulting offerings on the Azure MarketplaceThese offerings are available globally and focused on helping clients drive business transformation with hybrid cloud, generative AI, data and application modernization, security services, and tailored industry-specific solutions including IBM Consulting Azure OpenAI, IBM Consulting Connect 360, IBM Consulting Banking Operations GenAI Co-Pilot and IBM Security Strategy Services for Microsoft Azure. IBM Consulting also brings over 50,000 Microsoft certifications and a dedicated team of experts trained in the latest Microsoft technologies to helping clients get the most out of them.

IBM Targetprocess is the first Apptio product on the Microsoft Azure Marketplace. IBM also intends to make IBM Apptio Costing and Planning available in the marketplace in Q4 2024. IBM Cloudability is currently under consideration.

IBM Advances Secure AI, Quantum Safe Technology with IBM Guardium Data Security Center

IBM Guardium Data Security Center provides unified, SaaS-first data security capabilities amid hybrid cloud, AI, and quantum transformation
New software part of IBM’s comprehensive approach for protecting hybrid cloud and AI

ARMONK, N.Y.Oct. 22, 2024 /PRNewswire/ — As hybrid cloud-, AI-, and quantum-related risks upend the traditional data security paradigm, IBM (NYSE: IBM) is launching IBM Guardium Data Security Center – allowing organizations to protect data in any environment, throughout its full lifecycle, and with unified controls.

IBM Guardium Data Security Center provides a common view of organizations’ data assets, empowering security teams to integrate workflows and address data monitoring and governance, data detection and response, data and AI security posture management, and cryptography management together in a single dashboard. IBM Guardium Data Security Center includes generative AI capabilities to help generate risk summaries and boost security professionals’ productivity.

The center features IBM Guardium AI Security, software to help protect organizations’ AI deployments from security vulnerabilities and data governance policy violations at a time when generative AI adoption – and the risk of “shadow AI,” the presence of unsanctioned models – is surging.

IBM Guardium Data Security Center also features IBM Guardium Quantum Safe, software that helps clients to protect encrypted data from the potential risk of future cyberattacks driven by bad actors who gain access to cryptographically relevant quantum computers. IBM Guardium Quantum Safe builds upon expertise from IBM Research – including IBM’s post-quantum cryptography algorithms – and IBM Consulting.

“Generative AI and quantum computing provide immense opportunities, but they also bring new risks,” says Akiba Saeedi, Vice President, IBM Security Product Management. “During this transformative time, organizations need to improve their crypto-agility and carefully monitor their AI models, training data, and usage. IBM Guardium Data Security Center – with its AI Security, Quantum Safe, and other integrated capabilities – provides comprehensive risk visibility.”

IBM Guardium Quantum Safe helps organizations gain visibility and manage enterprise cryptographic security posture to address vulnerabilities and guide remediation. It allows organizations to enforce policies based on external, internal, and government regulations by pulling crypto algorithms used in code, vulnerabilities detected in code, and network usages into a single dashboard for security analysts to monitor policy violations and track progress – without having to piece together information distributed across various systems, tools, and departments. Guardium Quantum Safe offers customizable metadata and flexible reporting so that critical vulnerabilities can be prioritized for remediation.

IBM Guardium AI Security manages security risk and data governance requirements for sensitive AI data and AI models. It helps discover AI deployments, address compliance, mitigate vulnerabilities, and protect sensitive data in AI models through a common view of data assets. IBM Guardium AI Security integrates with IBM watsonx and other generative AI SaaS providers. For example, IBM Guardium AI Security helps discover “shadow AI” models and then shares them with IBM watsonx.governance, so they no longer elude governance.

An integrated approach for a transformative time

Hybrid cloud-, AI-, and quantum-era risks mean key data – from medical records and financial transactions to IP and critical infrastructure – require new forms of protection. During this transformative time, organizations urgently need a trusted partner and an integrated approach to data security – not a patchwork of point solutions. IBM is pioneering this integrated approach.

IBM Guardium Quantum Safe dovetails with broader Quantum Safe offerings from IBM Consulting and Research. The software is powered by technology and research developed by IBM Research. Several of IBM Research’s post-quantum cryptography algorithms were recently standardized by the U.S. National Institute of Standards and Technology (NIST), marking a crucial milestone to protect the world’s encrypted data from the risk of bad actors who may gain access to cryptographically relevant quantum computers to carry out cyberattacks in the future.

IBM Consulting’s Quantum Safe Transformation Services leverage these technologies to help organizations define risks, inventory and prioritize them, confront them – and then scale the process. IBM Consulting’s cybersecurity bench includes scores of professionals with experience in cryptography and quantum safe technology. Dozens of clients in telecommunications, finance, government, and other industries leverage IBM Quantum Safe Transformation Services to help safeguard their organizations against future risks and present risks like harvest now, decrypt later.

IBM today is also adding decentralized identity features to its Verify portfolio: IBM Verify Digital Credentials enables users to store and manage their own credentials. The feature digitizes physical credentials like drivers’ licenses, insurance cards, loyalty cards, and employee badges, which can then be standardized, stored, and shared with comprehensive security, privacy protection, and control. IBM Verify is an IAM (identity access management) solution that protects identity across the hybrid cloud.

Statements regarding IBM’s future direction and intent are subject to change or withdrawal without notice, and represent goals and objectives only.

New IBM study: Insurance Leaders Agree That rapid Adoption of Generative AI is Necessary to Compete, but Insurance Customers Express Reservations

ARMONK, N.Y.Oct. 16, 2024 /PRNewswire/ — New research by IBM’s (NYSE: IBM) Institute for Business Value identifies a disconnect between how insurers and their customers prioritize the use of generative AI, with industry executives focusing on experience while their clients are seeking personalized risk products and insights.

Findings from a survey of 1,000 insurance c-suite executives in 23 countries and 4,700 insurance customers in nine countries are outlined in Generative AI in the Insurance Industry: You Can’t Win if You Don’t Play.

“The insurance industry has made headway in generative AI with customer experience and chatbot enhancements, but insurers must focus on adopting comprehensive governance frameworks that ensure transparency, privacy, and explainability to ensure they are building trusted AI assistants and reliable processes,” said Mark McLaughlin, Director of Global Insurance with IBM Technology. “There are also significant opportunities in connecting customers to the right products. Leveraging AI across the enterprise will be critical to improve both customer risk experiences and to implement the underlying IT tools that power those experiences.”

Key Takeaways 

  • Insurance CEOs surveyed were almost evenly divided on whether they see generative as more of a risk (49%) versus an opportunity (51%)
  • 77% of industry leaders who responded acknowledge that generative AI is necessary to keep pace with competitors
  • Investments in gen AI are expected to surge by over 300% from 2023 to 2025 as organizations move from pilots in one or two areas to implementations in multiple functions across business lines
  • Only 29% of insurance customers queried said they are comfortable with gen AI virtual agents providing service, with only 26% saying they trust in the reliability and accuracy of advice given by generative AI
  • Organizations choosing less-centralized operating models to develop gen AI capabilities can improve business outcomes by up to 14%

Recommendations

  • Build more tailored products with flexibility, advice, and linkage to risk data
  • Match those products intelligently to customers’ needs
  • Address trust issues with strongly ethical, governed AI
  • Also use AI to connect the underlying risk data and address long-standing insurer and financial service provider technical debt
  • Deploy – and govern – AI across the enterprise with local knowledge experts empowered to connect AI to the insurance value chain

Download the full report here: www.ibm.com/thought-leadership/institute-business-value/en-us/report/insurance-generative-ai

IBM is a leading provider of enterprise AI, hybrid cloud architecture, security and ESG insights to the global financial services sector. Its deep industry expertise, extensive portfolio of services and solutions, and its robust ecosystem of fintech partners, empower collaboration, innovation, and creation with clients. As a trusted partner to banks, insurers, capital markets and payments providers, IBM guides financial institutions on all stages of their digital transformation journeys through IBM Consulting and delivers the proven infrastructure, software, and services they need through IBM Technology. For more information, visit https://www.ibm.com/industries/insurance.

Methodology

The IBM Institute for Business Value (IBM IBV), in cooperation with Oxford Economics, surveyed 1,000 C-level insurance executives in 23 countries in Q3 2024. 60% of the sample represented pure insurers, 35% bancassurers, and 5% insurance captives of non-financial services and insurance industry organizations selling to the wider insurance market. Participants were asked a range of questions in various formats (multiple choice numerical and Likert scale) about their organization’s expectations, results, concerns, and barriers for the use of generative AI in various parts of the organization, as well as relevant technological and business KPIs that allowed a quantitative assessment of the efficacy of these uses.

In the same timeframe, the IBM IBV also surveyed 4,700 insurance customers in nine countries, with a minimum of 900 respondents in each country: AustraliaCanadaChinaFranceGermanyHong KongJapan, UK, and US. Customers were asked a mirror of some of the questions the above executives received on gen AI benefits and concerns, allowing IBM IBV to gauge agreements and gaps in executive and customer perceptions.

The IBM Institute for Business Value, IBM’s thought leadership think tank, combines global research and performance data with expertise from industry thinkers and leading academics to deliver insights that make business leaders smarter. For more world-class thought leadership, visit www.ibm.com/ibv.

First IBM Quantum Data Center in Europe Opens; Will Include IBM’s Most Performant Quantum Systems

Expansion of IBM’s utility-scale fleet of quantum computers in Ehningen, Germany is marked with ribbon-cutting by German Chancellor Olaf Scholz and industry leaders.
New IBM quantum data center in Europe will soon include IBM Quantum Heron-based system with reduced error rates, 16 times better performance and a 25-fold increase in speed over 2022 IBM Quantum systems.
European-based enterprises and research institutions including Crédit Mutuel, Bosch, E.ON, Volkswagen Group, and Ikerbasque are accessing IBM global quantum fleet in quest to advance quantum algorithm discovery.

EHNINGEN, GermanyOct. 1, 2024 /PRNewswire/ — Alongside German Chancellor Olaf Scholz, senior European government officials and European-based global enterprises, IBM (NYSE: IBM) today unveiled the first IBM Quantum Data Center located outside of the United States. It is the company’s second quantum data center in the world and marks a significant expansion of its fleet of advanced, utility-scale quantum systems available to global users via the cloud.

Now online in Ehningen, GermanyEurope’s first IBM Quantum Data Center includes two new utility-scale, IBM Quantum Eagle-based systems, and will soon feature a new IBM Quantum Heron-based system. These systems are capable of performing computations beyond the brute-force simulation capabilities of classical computers.

First introduced late last year, IBM Heron is the company’s most performant quantum chip yet, and advances the company’s mission of bringing useful quantum computing to the world by enabling users to increase the complexity of algorithms they are exploring on real quantum hardware.

When the IBM Heron-based system is made available at the IBM Quantum Data Center in Europe, it will be the third IBM Heron installed across IBM’s fleet of quantum systems that can be accessed by the company’s global quantum network of more than 250 enterprises, universities, research institutions, and organizations. IBM Heron offers up to a 16-fold increase in performance and 25-fold increase in speed over previous IBM quantum computers as they were measured two years ago.

When it is deployed alongside the now-available utility-scale systems installed in the new IBM Quantum Data Center, the IBM Heron-based system will expand the more than a dozen quantum computers IBM currently offers through the cloud – the largest fleet of its kind in the world.

The opening of the new quantum data center was celebrated at a ribbon-cutting event attended by senior government officials, including German Chancellor Olaf Scholz and Dr. Nicole Hoffmeister-Kraut, Minister for Economic Affairs, Labour, and Tourism, State of Baden-Württemberg. IBM CEO and Chairman Arvind Krishna gave remarks alongside Chancellor Scholz, and the Chancellor also spoke at length with IBM leaders including Dario Gil, IBM Senior Vice President and Director of Research; Ana Paula Assis, General Manager of IBM EMEA; Jay Gambetta, Vice President of IBM Quantum; and IBM Quantum’s German-based team about the importance of quantum computing’s adoption and growth in the region.

Additionally, the landmark moment was attended by several senior leaders of European-based global enterprises, including Crédit Mutuel, Bosch, E.ON, Volkswagen Group, and others, as well as research institutions such as Ikerbasque in Spain and Fraunhofer-Gesellschaft. These organizations are among the more than 80 European-based organizations within the IBM Quantum Network, many of which have the opportunity to access the systems within the IBM Quantum Data Center in Europe to search for the algorithms and applications of quantum computing that could solve some of the most complex challenges across their industries.

“The opening of the IBM Quantum Data Center in Ehningen is good news for Germany. It will serve as a location for innovation and business growth, and is an expression of investors’ confidence in the German market. IBM enriches the German quantum computing landscape with this new data center. The German government is providing targeted support for the development of quantum technologies. It is thereby driving forward the development of competencies and capacities in quantum computing in order to promote a robust ecosystem around the development of quantum computers,” said Olaf Scholz, Chancellor of the Federal Republic of Germany.

“The opening of our first IBM Quantum Data Center in Europe marks a pivotal moment for the region’s technological development, demonstrates our commitment to Europe, and underscores the key role of collaboration with industry, academia and policymakers for a pan-European quantum ecosystem. This state-of-the-art facility will foster innovation around quantum computing, creating new opportunities for talent attraction and ensuring that Europe remains at the forefront of global technological advancements,” said Ana Paula Assis, General Manager and Chairman of IBM Europe, Middle East and Africa.

“Our collaboration with IBM for the ‘scaling’ phase of quantum computing is progressing according to plan. We are working to develop concrete applications that improve the experience of our customer and members, and create value for the Group’s businesses,” said Frantz Rublé, President of Euro-Information and Deputy Chief Executive Officer of Crédit Mutuel Alliance Fédérale. “The availability of this quantum data center on European soil addresses our constraints in terms of processing proximity and Crédit Mutuel’s approach to regulatory compliance. And it also means we can look forward to the next stages of the quantum project with confidence at Crédit Mutuel, CIC and then at Targobank.”

“We believe that enabling our scientists and engineers to tackle demanding problems in materials sciences, high-energy physics, and biosciences through quantum computing, and providing state-of-the-art quantum computing access will be key to make disruptive progress in all those disciplines,” said Javier Aizpurua, Ikerbasque professor, Donostia International Physics Center (DIPC) and director of BasQ. “A combined use of quantum computing, AI, and data science, if generalized, will give rise to a scenario of new possibilities not only in fundamental research but also in industrial innovation.”

“Bosch aims to drive innovation in the field of material simulation using quantum computing. In partnership with IBM Quantum, our team is creating scalable algorithms that aim to revolutionize product development. This includes the creation of new materials for sustainable, carbon-free mobility and the reduction of rare earth elements,” said Dr. Thomas Kropf, President of Corporate Sector Research and Advance Engineering, Robert Bosch GmbH. “The European IBM Quantum Data Center allows us to run quantum calculations in close proximity, supporting Bosch’s approach to compliance with European data protection regulations. This accelerates our research and development efforts and bolsters the European quantum ecosystem, paving the way for advancements in mobility, healthcare, and sustainable technologies.”

“E.ON is investigating quantum computing to tackle energy transition challenges, including large-scale optimization, complex scenario modeling, and quantum machine learning. IBM’s first European Quantum Data Center’s location is also helpful for EU/German public funding opportunities, which may be available for local access to quantum computational resources and on-site expertise. This milestone underscores Europe’s and Germany’s leadership in quantum computing and marks a significant advancement in propelling enterprises into the quantum era,” said Chris d’Arcy, Managing Director, E.ON Digital Technology GmbH and Chief Data and AI Officer.

“Quantum computing can be the next big thing to solve problems in material science, traffic optimization, or deep learning, that may change the world. IBM’s Quantum Data Center in Europe provides access to their unique quantum infrastructure and thus, represents an indispensable another piece of the bridge between quantum computers and industrial application at scale. We are proud to be part of that journey to utilize quantum computing for the transformation into future sustainable and smart mobility,” said Dr. Nikolai Ardey, Executive Director, Volkswagen Group Innovation.

“Algorithmiq is pioneering the integration of quantum computing, artificial intelligence (AI), and network science to solve the world’s most complex problems in chemistry, healthcare and life sciences. To accomplish this, we need algorithms and scale. This is why we’ve partnered with IBM on both counts: our groundbreaking error mitigation algorithm, TEM, available through the Qiskit Functions Catalog, is proven to be optimal in extending the scale and accuracy of quantum simulations. And now, with more IBM quantum systems available in Europe, we’re excited to further strengthen our ties in Europe and partner with an even larger ecosystem of industries, organizations, developers, and scientists to demonstrate TEM’s utility — and progress toward quantum advantage,” said Sabrina Maniscalco, CEO of Algorithmiq.

IBM recently published evidence that Qiskit is the world’s leading and most performant quantum software. Together with access to IBM’s advanced quantum hardware, IBM’s ecosystem of users across Europe and globally can access tools and systems that can help them to more easily advance the discovery of algorithms that could open the doorway to useful quantum computing and reach quantum advantage: the point at which a quantum computer can solve a practical problem better than any classical method.

The IBM Quantum Data Center in Europe can be accessed through the IBM Quantum Platform, continuing IBM’s mission to enable the development of quantum computing use cases and to support clients as they press forward with algorithm discovery in the era of quantum utility, and towards quantum advantage.