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

<MULTIPLIER>                  1,000,000

                           
<PERIOD-TYPE>                 9-MOS
<FISCAL-YEAR-END>                      DEC-31-2000
<PERIOD-END>                           SEP-30-2000
<CASH>                                       2,880
<SECURITIES>                                   153
<RECEIVABLES>                               21,898
<ALLOWANCES>                                     0
<INVENTORY>                                  4,806
<CURRENT-ASSETS>                            40,037
<PP&E>                                      38,086
<DEPRECIATION>                              21,757
<TOTAL-ASSETS>                              83,876
<CURRENT-LIABILITIES>                       32,812
<BONDS>                                          0
<PREFERRED-MANDATORY>                            0
<PREFERRED>                                    247
<COMMON>                                    12,895
<OTHER-SE>                                   6,405
<TOTAL-LIABILITY-AND-EQUITY>                83,876
<SALES>                                     26,314
<TOTAL-REVENUES>                            62,780
<CGS>                                       19,062
<TOTAL-COSTS>                               40,025
<OTHER-EXPENSES>                            15,001
<LOSS-PROVISION>                                 0
<INTEREST-EXPENSE>                             499
<INCOME-PRETAX>                              7,747
<INCOME-TAX>                                 2,324
<INCOME-CONTINUING>                          5,423
<DISCONTINUED>                                   0
<EXTRAORDINARY>                                  0
<CHANGES>                                        0
<NET-INCOME>                                 5,423
<EPS-BASIC>                                   3.06
<EPS-DILUTED>                                 2.97