<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM IBM
CORPORATION'S STATEMENTS FOR THE SIX MONTHS ENDING JUNE 30, 1997 AND IS
QUALIFED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS.
</LEGEND>
<MULTIPLIER> 1,000,000
       
                             
<PERIOD-TYPE>                   6-MOS
<FISCAL-YEAR-END>                          DEC-31-1997
<PERIOD-END>                               JUN-30-1997
<CASH>                                           6,503
<SECURITIES>                                       358
<RECEIVABLES>                                   16,060
<ALLOWANCES>                                         0
<INVENTORY>                                      5,913
<CURRENT-ASSETS>                                38,639
<PP&E>                                          42,031
<DEPRECIATION>                                  24,384
<TOTAL-ASSETS>                                  78,819
<CURRENT-LIABILITIES>                           30,629
<BONDS>                                              0
<PREFERRED-MANDATORY>                                0
<PREFERRED>                                        253
<COMMON>                                         8,290
<OTHER-SE>                                      11,566
<TOTAL-LIABILITY-AND-EQUITY>                    78,819
<SALES>                                         16,377
<TOTAL-REVENUES>                                36,180
<CGS>                                           10,803
<TOTAL-COSTS>                                   22,187
<OTHER-EXPENSES>                                 9,932
<LOSS-PROVISION>                                     0
<INTEREST-EXPENSE>                                 351
<INCOME-PRETAX>                                  4,032
<INCOME-TAX>                                     1,391
<INCOME-CONTINUING>                              2,641
<DISCONTINUED>                                       0
<EXTRAORDINARY>                                      0
<CHANGES>                                            0
<NET-INCOME>                                     2,641
<EPS-PRIMARY>                                     2.64
<EPS-DILUTED>                                     2.58