In this interview, we discuss the differences in IBM and Red Hat’s culture, why they are looking to inject cultural elements from each other into their own operating models, and the three cultural characteristics IBM wants to drive: entrepreneurial spirit, growth mindset, and radical candor. We discuss why IBM decided to spin out the managed services business, why Red Hat is separate from IBM, and the importance and potential of AI. Lastly, we discuss some of IBM’s failures, how IBM thinks about where it’s going to invest versus where it’s going to rely on open source, among a variety of other topics.