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He will fill a board vacancy that expires on Dec. 31, 2023.
Taking on IBM's managed infrastructure services in the official separation, Kyndryl anticipates its distribution for shares to be Nov. 3.
In collaboration with global education, nonprofit, government and employment agency organizations, IBM seeks to develop workforce skills for underserved populations in 12 countries and connect participants to career opportunities.
The company claimed the software was being used to promote racial discrimination.
Rometty joined IBM in 1991 and became chairman, president and CEO in 2012.
"IBM is unleashing its software from the data center to fuel the enterprise workload race to the cloud," said Senior Vice President Arvind Krishna.
IBM sued Jeff S. Smith last week in federal court in White Plains, accusing him of violating a noncompete agreement and demanding that he repay $1.7 million in stock bonuses.