The Times They Are a-Changin’ ? Maybe Not
Published March 8th, 2010 Under Software Development | 2 Comments
I will rather say that history repeats itself. By the way, this is a quote from Hegel and Marx added that first time was tragedy, and the second time farce. Yet this post is not about a Bob Dylan against Marx debate, but about a thought that came when, after following a conference presenting some of the IBM Rational products, I discovered the Open Services for Lifecycle Collaboration initiative. OSLC defined itself as “a community effort to help software delivery teams by making it easier to use lifecycle tools in combination. The OSLC community is creating open, public descriptions of resources and interfaces for sharing the things that software delivery teams rely on, like change requests, test cases, defects, requirements and user stories.” I first thought that Rational Jazz, self-defined as “an open platform designed to support any industry participant who wants to improve the software lifecycle and break down walls between tools” would be the place for tool integration. Apparently building this platform was not enough to foster tool collaboration.
I was traveling back 20 year back in time when IBM already tried to combine multiple tools data in a single repository, an initiative called AD Cycle. The grails (without groovy) of having different vendors tools communicating has been since then attempted again by some other “standards” like CDIF (Common Data Interchange Format) or PCTE (Portacle Common Tool Environment). I am sure that you have all heard about these initiatives and that they are one of the key factors when you make a tool acquisition decision. Aren’t they?
One of the problems of these initiatives for uniting tools is that vendors mostly favor bilateral alliances and create integration with selected partners. However, the most important issue is that except for IBM, most of the industry players have a (very) short life expectancy. Most of them will disappear before the time needed to define and implement such standards. Anybody remember of Knowledgeware’s ADW, Index Technologies’ Excelerator or Arthur Andersen Method/1? If yes, it means that you have some gray hairs … and a good memory (let’s see the positive points). The current list of tool partners of OSLC is far from being impressive and the probabilities that this initiative will have the same fate than its predecessors are high.
Oracle Buys Sun: What Will Happen Next?
Published April 20th, 2009 Under News, Software Development | Leave a Comment
SANTA CLARA, Calif., April 20, 2009. Sun Microsystems (NASDAQ: JAVA) and Oracle Corporation (NASDAQ: ORCL) announced today they have entered into a definitive agreement under which Oracle will acquire Sun common stock for $9.50 per share in cash. The transaction is valued at approximately $7.4 billion, or $5.6 billion net of Sun’s cash and debt. The price represents a 42 percent premium to Sun’s Friday closing stock price of $6.69. This acquisition came after Sun broke negotiations with IBM, which was offering $9.40 per share.
Sun Press release said “There are substantial long-term strategic customer advantages to Oracle owning two key Sun software assets: Java and Solaris.” I think that this last sentence will reflect the main point of this purchase, as far as software developers are concerned. In his quest for getting a more important share of the software infrastructure of companies, Oracle acquires mainly a programming expertise and operating system that should complement its application and databases solutions. The hardware part should also allow Oracle to offer a complete optimized hardware and software solution to its customers, even if, due to Sun smaller market share, Oracle has to be friendly with its other hardware partners like HP or Dell. Acquiring Sun, Oracle also increase its expertise in the Java middleware area, after the acquisition last year of BEA Systems.
The other fact which is contained in Sun press release sentence, or I should say which is omitted, is MySQL. Sun acquired MySQL in January 2008, as a way to boost its software offer. MySQL has been for a long time an important issue for Oracle, as it was a big competitor in the lower end of the market for databases. With this acquisition, Oracle has the possibility of “quietly” killing the MySQL development process and offer the current MySQL paying customer an opportunity to migrate towards its own database product. I don’t see Oracle maintaining two database product lines, especially if one is mainly “given away” for free. Even if existing Oracle customers may not be tempted by MySQL, this new database was always in consideration for startups. There were also some companies that tried to build upon MySQL the missing tools to bring it close to the power of Oracle products.
We expect a similar fate, silent slow death through lower financial support, for mainly of the other Sun’s technologies: NetBeans, GlassFish, JavaFX or OpenOffice. Oracle always want to get the most of the financial aspect of acquisitions and spending money on open source projects and technology that has low immediate return on investment is not something that it would consider, unless it could be used as a tactical weapon against some of its competitors, like Microsoft or SAP for instance.
Sun Press Release
http://www.sun.com/third-party/global/oracle/index.jsp
IBM Rational and WebSphere Strategies
Published February 11th, 2009 Under News, Software Development | Leave a Comment
I attended last week a conference in Geneva where IBM was presenting the strategy for its Rational and WebSphere software development solutions. If you consider IBM as a hardware company, you should realize that today services is the most important revenue sector and software is the most important source of income. Currently, IBM focus is on aligning IT (and software development) with business goals and this objective impact also the strategy of its software development solutions.
For WebSphere, the most important point is the recent acquisition of Ilog by IBM. Ilog has a strong solution for business rules management and the goal of IBM is to push this product to its existing customers and improve the positioning of WebSphere in Business Process Management. As both companies were already partners, there are no specific product integration issues. On the other end of the market, IBM is fighting RedHat’s JBoss with the free WebSphere Application Server Community Edition, pledging to offer competitive support prices for organizations that need it. There was also a presentation of the sMash, a product that allows to create rapidly dynamic web applications using PHP and Groovy running on an optimized java virtual machine. This is the commercial result of the work done at projectzero.org.
On the Rational side, the intention is to provide a native implementation in the new Jazz platform of products like ClearQuest and BuildForge. The next version of the Team Concert product will be improved in terms of enterprise reporting and global project management. The product is still developed using the open commercial concept, where the software is proprietary but the development process is open for customers’ input. As far as Telelogic products are concerned, they will keep their independence and industrial software focus, but they should also get more integrated on the Jazz platform in the longer term. Rational is also introducing a new consulting concept: Measured Capability Improvement Framework (MCIF). The goal of this approach is to check how software development practices are aligned on business objectives.
With the current economic conditions, it could not be easy to sell software development solutions that require large budgets and important modifications of current practices. IBM addresses this challenge by proposing a modular approach that allows a gradual transfer to its Jazz platform and the use of open source solutions in the overall software development toolbox.
IBM Acquires ILOG
Published July 31st, 2008 Under News, Software Development | Leave a Comment
IBM and ILOG announced that they have signed an agreement regarding a proposed acquisition by IBM of ILOG to be implemented by way of concurrent cash public tender offers in both France and the United States. The cash tender offer will be at a price of €10 per ordinary share. This will amount to an aggregate purchase price of approximately €215 million or approximately $US340. This price represents a premium of approximately 56 percent compared to ILOG’s one month average of closing share prices prior to July 28, 2008, and a 37 percent premium to the closing price of Friday, July 25. Read more
HP Acquires EDS: Too Much and Too Soon?
Published May 14th, 2008 Under News, Software Development | Leave a Comment
HP and EDS today announced that they have signed a definitive agreement under which HP will purchase EDS at a price of $25.00 per share, or an enterprise value of approximately $13.9 billion. The transaction is expected to close in the second half of calendar year 2008 and to more than double HP’s services revenue, which amounted to $16.6 billion in fiscal 2007. The companies’ collective services businesses, as of the end of each company’s 2007 fiscal year, had annual revenues of more than $38 billion and 210,000 employees. HP intends to establish a new business group, to be branded EDS – an HP company, which will be headquartered at EDS’s existing executive offices in Plano, Texas. HP plans that EDS will continue to be led after the deal closes by EDS Chairman, President and Chief Executive Officer Ronald A. Rittenmeyer, who will join HP’s executive council and report to Mark Hurd, HP’s chairman and chief executive officer. Read more
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