IBM & AWS: Doubling Down on Generative AI Solutions
According to Meriam Webster, the meaning of DOUBLE DOWN is a term used in card games like blackjack and means to double the original bid in exchange for only one more card.
While often seen as a risky tactic, the idea is that the new card will bring a fresh perspective, a better hand, and the chance to win big. IBM in partnership with AWS is doubling down their original bet on a collaborative end to end approach to AI and customer outcomes in the digital transformation game. The net result is a better chance for customers to win big in the Cloud and AI game.
At the recent AWS #re:Invent conference in Las Vegas, I had the opportunity to speak with Nick Otto , Head of Global Strategic Partnerships at IBM. Nick currently leads IBM Blue Partner Group which includes overseeing partnerships with the largest and most strategic partners including AWS and Microsoft in the Hyperscaler space.
IBM and Amazon Web Services (AWS) have been working together since 2016 to provide secure, automated solutions for hybrid cloud environments giving clients the flexibility to choose the right mix of technologies for their business needs. In May 2022, the partnership expanded with a strategic software agreement for AWS clients to procure 70 products from the marketplace.
A Strong Partnership Matures and Grows
The relationship between IBM and AWS continues to evolve and grow. In October 2023, IBM deepened the relationship with AWS with the news that IBM Consulting will provide exclusive training to 10,000 consultants and host the watsonx.data storage solution as software-as-a-service on AWS.
Today, IBM Consulting holds over 22,000 active AWS Certifications. A current area of focus is certification on AWS Certified Machine Learning – Specialty, which validates proficiency in building and deploying ML models on AWS; and AWS Certified Data Analytics.
The IBM, AWS and Red Hat partnership brings a unique combination of leading enterprise AI, cloud, infrastructure, and open-source technologies delivered with deep IBM consulting expertise. This enables companies to quickly and responsibly scale AI workloads using a comprehensive stack of Generative AI – composed of Amazon Bedrock and IBM watsonxTM running on AWS Cloud and across hybrid cloud environments.
Watsonx.ai, a platform for training generative AI models, and watsonx.governance, which assists with AI governance, are expected to follow watsonx.data by 2024. According to Nick, there has been a lot of chatter in the marketplace about watsonx.goverance given the momentum of AI in the enterprise.
Otto said during our conversation that it’s been exciting to watch the innovation around AI and that Watsonx.governance is the next natural step in that process of taking ideas and bring them to life in the form of a business use case. The product is a great tool for creating responsible AI use in a hybrid environment and can complement tools like AWS Bedrock.
A Drive Towards AI Value
According to IBM Consulting, it is critical to build enterprise strategies that are informed and that enhance the ability to review end to end workflows finding opportunities where generative AI automation complements traditional AI for innovation. IBM has been very vocal about where to begin the AI journey for clients to see value.
Nick states that there is a symbiotic relationship between cloud and AI automation, but everything comes down to business value. He believes that its part of the IBM team’s job to guide a client back to value while helping them avoid risk. One of the early positive value metrics he thinks we’ll see from AI will come out of increased productivity in the IT team itself.
While we are at early stages with AI in the enterprise, business value is starting to be seen in development work, better customer service response times and in HR tools and capabilities. For example, IBM is using AI internally for employees with an internal tool called ASK HR. IBM is walking the talk.
What’s Next for Cloud, AI, IBM and AWS?
I asked Nick to look into his crystal ball and predict what he sees happening with customers on their journey with cloud and AI and the strong partnership between IBM and AWS in the next 6 months to a year. He chuckled and then gave me a very thoughtful response.
Nick said he sees excitement across three key areas: The first is preparing customers for change. Change is constant. IBM can help clients align and prepare for the changes that emerging technologies bring and then apply those changes to their business. The second key area is with the continuation of AI energy, we’ll see a shift toward value thinking. Instead of what are the 150 problems that AI can solve in an organization, we’ll see a focus from IT leaders on what are the top 5 or 10 things that will drive the most value. Lastly, swim lanes will continue to be defined and shift through collaboration, openness and a hybrid approach to both workloads and design thinking. Somehow, I think Nick and the IBM team are going to do well with his vision and this mindset toward innovation, growth and delivering business value for their clients with their ecosystem partners.
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