IBM Global Services in Trouble?

I was surprised to read an I, Cringely column on the imminent implosion of IBM Global Services. Apparently, the highly touted services arm of IBM is no better than any other IT consulting firm. Cringely cites lack of training, overwork, underbid, and overcharge practices. This reminds me of some old IT consulting friends who told me that no IT consulting firm would be profitable if it delivered on schedule, on budget, without overworking its employees. I had always thought that IBM would not fall victim to such practices, given its mainframe roots. Perhaps I was wrong.

One piece of evidence to support Cringely's claim is Sprint Nextel's recent lawsuit over its outsourcing contract with IBM. If this is just one public example of many failing IBM service contracts, IBM Global Services really is in trouble.