Ownership Submission
FORM 4
Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP OF SECURITIES

Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934, Section 17(a) of the Public Utility Holding Company Act of 1935 or Section 30(h) of the Investment Company Act of 1940
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(Print or Type Responses)
1. Name and Address of Reporting Person *
Shaughnessy Timothy S
   2. Issuer Name and Ticker or Trading Symbol
INTERNATIONAL BUSINESS MACHINES CORP [IBM] 		5. Relationship of Reporting Person(s) to Issuer
(Check all applicable)
_____ Director _____ 10% Owner
__X__ Officer (give title below) _____ Other (specify below)
Senior Vice President
(Last)
(First)
(Middle)
IBM CORPORATION, NEW ORCHARD ROAD		 3. Date of Earliest Transaction (Month/Day/Year)
05/19/2008
(Street)

ARMONK, NY 10504		 4. If Amendment, Date Original Filed(Month/Day/Year)
 6. Individual or Joint/Group Filing(Check Applicable Line)
_X_ Form filed by One Reporting Person
___ Form filed by More than One Reporting Person
(City)
(State)
(Zip)
Table I - Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned
1.Title of Security
(Instr. 3)		 2. Transaction Date (Month/Day/Year) 2A. Deemed Execution Date, if any (Month/Day/Year) 3. Transaction Code
(Instr. 8)		 4. Securities Acquired (A) or Disposed of (D)
(Instr. 3, 4 and 5)		 5. Amount of Securities Beneficially Owned Following Reported Transaction(s)
(Instr. 3 and 4)		 6. Ownership Form: Direct (D) or Indirect (I)
(Instr. 4)		 7. Nature of Indirect Beneficial Ownership
(Instr. 4)
Code V Amount (A) or (D) Price
Common Stock 05/19/2008   M   955 A $ 104.71 10,752.225 D  
Common Stock 05/19/2008   M   11,045 A $ 104.71 21,797.225 D  
Common Stock 05/19/2008   M   26,996 A $ 105.96 48,793.225 D  
Common Stock 05/19/2008   S   18,220 D $ 127.9 30,573.225 D  
Common Stock 05/19/2008   S   2,700 D $ 127.91 27,873.225 D  
Common Stock 05/19/2008   S   200 D $ 127.92 27,673.225 D  
Common Stock 05/19/2008   S   100 D $ 127.93 27,573.225 D  
Common Stock 05/19/2008   S   1,000 D $ 127.96 26,573.225 D  
Common Stock 05/19/2008   S   300 D $ 127.98 26,273.225 D  
Common Stock 05/19/2008   S   100 D $ 128 26,173.225 D  
Common Stock 05/19/2008   S   100 D $ 128.01 26,073.225 D  
Common Stock 05/19/2008   S   600 D $ 128.03 25,473.225 D  
Common Stock 05/19/2008   S   2,600 D $ 128.04 22,873.225 D  
Common Stock 05/19/2008   S   700 D $ 128.05 22,173.225 D  
Common Stock 05/19/2008   S   300 D $ 128.06 21,873.225 D  
Common Stock 05/19/2008   S   700 D $ 128.08 21,173.225 D  
Common Stock 05/19/2008   S   2,000 D $ 128.09 19,173.225 D  
Common Stock 05/19/2008   S   600 D $ 128.1 18,573.225 D  
Common Stock 05/19/2008   S   200 D $ 128.11 18,373.225 D  
Common Stock 05/19/2008   S   200 D $ 128.12 18,173.225 D  
Common Stock 05/19/2008   S   7,700 D $ 128.13 10,473.225 D  
Common Stock 05/19/2008   S   636 D $ 128.14 9,837.225 D  
Common Stock 05/19/2008   S   500 D $ 128.15 9,337.225 D  
Common Stock 05/19/2008   S   100 D $ 128.16 9,237.225 D  
Common Stock 05/19/2008   S   30 D $ 128.2 9,207.225 (3) D  
Common Stock 05/19/2008   M   955 A $ 104.71 0 (3) I (1) spouse
Common Stock 05/19/2008   M   1,545 A $ 104.71 1,340.977 (4) I (1) spouse

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Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned
(e.g., puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security
(Instr. 3)		 2. Conversion or Exercise Price of Derivative Security 3. Transaction Date (Month/Day/Year) 3A. Deemed Execution Date, if any (Month/Day/Year) 4. Transaction Code
(Instr. 8)		 5. Number of Derivative Securities Acquired (A) or Disposed of (D)
(Instr. 3, 4, and 5)		 6. Date Exercisable and Expiration Date
(Month/Day/Year)		 7. Title and Amount of Underlying Securities
(Instr. 3 and 4)		 8. Price of Derivative Security
(Instr. 5)		 9. Number of Derivative Securities Beneficially Owned Following Reported Transaction(s)
(Instr. 4)		 10. Ownership Form of Derivative Security: Direct (D) or Indirect (I)
(Instr. 4)		 11. Nature of Indirect Beneficial Ownership
(Instr. 4)
Code V (A) (D) Date Exercisable Expiration Date Title Amount or Number of Shares
Emp. Stock Option (right to buy) $ 104.71 05/19/2008   M     11,045 02/27/2005(2) 02/26/2011 Common Stock 11,045 $ 0 0 D  
Emp. Stock Option (right to buy) $ 105.96 05/19/2008   M     26,996 02/24/2008(2) 02/23/2014 Common Stock 26,996 $ 0 0 D  
Emp. Stock Option (right to buy) $ 104.71 05/19/2008   M     955 02/27/2005(2) 02/26/2011 Common Stock 955 $ 0 0 D  
Emp. Stock Option (right to buy) $ 104.71 05/19/2008   M     955 02/27/2005(2) 02/26/2011 Common Stock 955 $ 0 0 I (1) spouse
Emp. Stock Option (right to buy) $ 104.71 05/19/2008   M     1,545 02/27/2005(2) 02/26/2011 Common Stock 1,545 $ 0 0 I (1) spouse

Reporting Owners

Reporting Owner Name / Address Relationships
 Director  10% Owner  Officer  Other
Shaughnessy Timothy S
IBM CORPORATION, NEW ORCHARD ROAD
ARMONK, NY 10504		       Senior Vice President  

Signatures

 M. SooHoo for T. S. Shaughnessy by power-of-attorney   05/20/2008
**Signature of Reporting Person Date

Explanation of Responses:

* If the form is filed by more than one reporting person, see Instruction 4(b)(v).
** Intentional misstatements or omissions of facts constitute Federal Criminal Violations. See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).
(1) The reporting person disclaims beneficial ownership of the securities, and this report shall not be deemed an admission that the reporting person is the beneficial owner of such securities for purposes of Section 16 or for any other purpose.
(2) This grant vested in four equal annual installments; the last installment vested on the date shown above.
(3) The amount shown above in column 5 (9,207.225 shares) includes 955 shares acquired by spouse upon the stock option exercise disclosed in Table II.
(4) This amount reflects the sale of 1,545 shares acquired by spouse upon the stock option exercise disclosed in Table II, which shares were sold as reflected above.

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