IBM · 10-Q · 2026Q3 · Full report

Intellectual Property Income

INTERNATIONAL BUSINESS MACHINES CORP · 2026-10-22 · Importance 35 · Surprise 48

Total intellectual property and custom development income decreased 25.3% year over year in the third quarter of 2026 and 27.0% in the first nine months of 2026. The company attributed the volatility to the timing and amount of licensing agreements, royalty-based fees, IP sales, economic conditions, industry consolidation, and new patent and know-how development. Custom development income declined 35.5% in the first nine months, while intellectual property income declined 4.6%.

Key facts

• Goodwill at September 30, 2026: $74,916 million. source
• Intangible assets — net at September 30, 2026: $13,603 million. source
• Total intellectual property and custom development income decreased 25.3 percent year to year in the third quarter of 2026. source
• Total intellectual property and custom development income decreased 27.0 percent year to year in the first nine months of 2026. source