IBM stock seesaws after unveiling chip 'the size of a fingernail' in AI push

What happened: IBM (IBM) shares erased earlier gains to slip into negative territory on Thursday.

What's behind the move: The enterprise information technology company unveiled what it called the world's first sub-1-nanometer (nm) chip technology.

"IBM's new sub-1 nm chip packs nearly 100 billion transistors onto a chip the size of a fingernail, nearly twice the density of IBM's 2 nm chip, unveiled in 2021," the company said in a statement.

IBM said the new chip will offer a substantial leap in capability, "supercharging compute for applications ranging from generative AI and cloud infrastructure to next-generation electronic devices."

The company estimates production of the chips in as early as five years.

What else you need to know: IBM is one of the legacy companies that has been in recovery mode after shares of the tech firm were caught up in the software sector sell-off earlier this year.

Earlier this week, JPMorgan analysts upgraded the stock from Neutral to Overweight, with analyst Brian Essex noting the company's software business continues to "drive better recurring revenue, margins, profitability, and cash flow."

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Fuente original: Yahoo Finance (https://finance.yahoo.com/markets/stocks/article/ibm-stock-seesaws-after-unveiling-chip-the-size-of-a-fingernail-in-ai-push-130640214.html)