I think they started on a long slide starting in the late 90s when they tried to couple research more and more tightly to product deliverables, and then as they pivoted to being a services company, including selling off non-mainframe hardware to Lenovo, to coupling r&d to, uh, I guess services revenue, whatever that means. They had some research layoffs in 2008, at the same time that MSR and Google were really blossoming in research spend and perception, and I think they kind of got left behind.

I had a former student go there around 2008 and it seemed like the vibes were starting to sour around then. They maintained some awesome researchers in, e.g., databases, but I think the "make sure you are showing closely how your research directly contributes to services revenue" thing was strong by then and somewhat ruinous for how pleasant a work experience it was for many.