<ARTICLE>                     5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM IBM
CORPORATION'S FINANCIAL STATEMENTS FOR THE SIX MONTHS ENDED JUNE 30, 2000 AND IS
QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS.

<MULTIPLIER>                                   1,000,000

                             
<PERIOD-TYPE>                   6-MOS
<FISCAL-YEAR-END>                         DEC-31-2000
<PERIOD-END>                              JUN-30-2000
<CASH>                                          2,987
<SECURITIES>                                      274
<RECEIVABLES>                                  21,145
<ALLOWANCES>                                        0
<INVENTORY>                                     4,759
<CURRENT-ASSETS>                               39,437
<PP&E>                                         38,506
<DEPRECIATION>                                 21,872
<TOTAL-ASSETS>                                 82,949
<CURRENT-LIABILITIES>                          33,862
<BONDS>                                             0
<PREFERRED-MANDATORY>                               0
<PREFERRED>                                       247
<COMMON>                                       12,570
<OTHER-SE>                                      6,357
<TOTAL-LIABILITY-AND-EQUITY>                   82,949
<SALES>                                        16,863
<TOTAL-REVENUES>                               40,999
<CGS>                                          12,247
<TOTAL-COSTS>                                  26,045
<OTHER-EXPENSES>                               10,014
<LOSS-PROVISION>                                    0
<INTEREST-EXPENSE>                                316
<INCOME-PRETAX>                                 4,943
<INCOME-TAX>                                    1,483
<INCOME-CONTINUING>                             3,460
<DISCONTINUED>                                      0
<EXTRAORDINARY>                                     0
<CHANGES>                                           0
<NET-INCOME>                                    3,460
<EPS-BASIC>                                      1.95
<EPS-DILUTED>                                    1.89