IBM has signalled in a statement that it will make a "major business announcement", with Bloomberg reporting that IBM will finally part with its chip-making business.
Bloomberg reported that IBM will pay GlobalFoundries $1.5 billion to take on the business, and receive $200 million of assets in return.
The mooted shedding of IBM's chip business has been close to finalising before, only with the deal to collapse.
In July, a deal with the same pair of partners fell through, after terms could not be agreed to.
Earlier this year, IBM parted with its x86 server business, which was sold to Lenovo for $2.3 billion, and had engaged Goldman Sachs to find a buyer for its chip manufacturing.
If confirmed that the deal between IBM and GlobalFoundries will be the latest in a growing list of companies that have separated or divested business units recently.
Since the end of September, eBay has announced that it will spin off PayPal into a separate publicly traded company; HP has decided to split itself into a PC and printer businesses and an enterprise business; and Symantec will fracture itself into a security-focused company and an information management business.