IBM Watson Health, launched in 2015 after the Watson supercomputer's 2011 Jeopardy! victory, collapsed due to structural failures in computational architecture, training methodology, marketing, and clinical workflow understanding, not a single algorithmic flaw. IBM spent over $4 Billion on acquisitions, including Merge ($1B) and Truven ($2.6B), and opened a New York City headquarters with an "immersion room" to pitch its vision of an automated cognitive physician. In 2016, the MD Anderson partnership was suspended after ~$62 Million was spent, with a UT System audit revealing procurement violations, scope creep, and zero clinical deployment. From 2017–2018, STAT News exposed unsafe treatment recommendations, synthetic training data, and low concordance. By 2019, IBM halted sales of Watson for Drug Discovery and scaled back hospital oncology offerings, leading to a multi-billion-dollar strategic retreat and eventual asset liquidation.