There is consistent proximity throughout the logotype. The negative space forming the "N" makes sense with the name because looking at the logotype engages the audience when locating the "N". I also think the logotype font works well bold.
"This one is an IBM smart cities campaign product/ad. It is great because it is intelligently complementing the ad with the functionality of the design, so perfectly that the audience really gets the idea of the “Smarter Cities” out of this design.