29
Fri, Nov
0 New Articles

IBM Pitches Industry Programs to Software Vendors

Analysis of News Events
Typography
  • Smaller Small Medium Big Bigger
  • Default Helvetica Segoe Georgia Times

When IBM revealed its industry strategy to its Business Partners at last week's PartnerWorld conference, the company did more than explain where it is going. It also announced programs that will enable independent software vendors (ISVs) to develop on IBM's industry middleware platforms and go to market with the computer giant. If those programs are successful, they could bring hundreds or even thousands of new solutions to mid-market customers and the iSeries server.

As I explained in my article last week, IBM is creating integrated middleware platforms that will address specific business issues for 12 industries. Each of the industries--banking, financial markets, insurance, automotive, electronics, retail/wholesale, consumer packaged goods, utilities, telecommunications, government, healthcare, and life sciences--will gain its own platform. Besides integrating middleware from across IBM's various brands, each platform will contain accelerator code, templates, adapters, database schema, and architectural guidance that ISVs can use to build vertical solutions on the platform.

Of course, IBM is not assuming that if it simply builds these platforms, ISVs will come. That is why the company used PartnerWorld last week to launch two major initiatives to get ISVs to embrace its industry offerings.

A Wider ISV Tent

Since the late 1990s, IBM has devoted most of its technical and marketing support to around 100 large ISVs that mainly cater to large enterprises. A year ago, however, IBM created ISV Advantage, a program to recruit and support regional ISVs that serve medium-size companies. Under ISV Advantage, a regional ISV commits to selling a specific percentage of its solutions on IBM middleware and servers. In exchange, IBM engages in extensive comarketing activities with the ISV and provides privileged access levels to its technical and sales support services.

At PartnerWorld last week, IBM expanded the mission of the ISV Advantage program and gave it a new name: ISV Advantage for SMB and Industries. As the new name indicates, ISV Advantage will continue to recruit regional ISVs that serve medium-size companies. Indeed, Buell Duncan--IBM's General Manager for ISV and Developer Relations--announced that ISV Advantage has now signed up 200 ISVs that serve this market. Under the expanded program, IBM will use ISV Advantage to recruit and support the leading industry software vendors. These vendors will agree to develop solutions on IBM's industry-specific middleware and commit to sales targets under terms that will be similar to those of their regional ISV counterparts.

While IBM will target ISV Advantage for Industries at the larger vertical ISVs, it will offer another program to all developers that create industry solutions. The program--PartnerWorld Industry Networks--will provide developers with technical and marketing support to create and sell vertical solutions with IBM's industry middleware under the covers.

At PartnerWorld, IBM launched both programs by unveiling ISV support offerings for six of its twelve targeted industries: banking, financial markets, retail, telecommunications, healthcare, and life sciences. According to Duncan, offerings for the remaining industries will be rolled out over the course of this year. The offerings include the following:

  • Enablement blueprints. Developers will receive detailed guidance on how to use IBM's industry middleware platforms to solve specific business challenges that their customers face.
  • Business insight services. To help ISVs connect with customers at the business level, IBM will provide advice on the issues that are affecting each industry. It will connect ISVs with its own industry experts and external consultants through publications and Webcasts.
  • Industry networking. IBM will offer opportunities for knowledge exchanges through Web forums, conferences, and other venues.
  • Sales and marketing support. Based on their level of commitment, industry ISVs will get opportunities to go to market with IBM through lead-generation programs, industry-specific advertising, and other promotions.

While IBM will extend these four offerings to members of both ISV programs, it will offer higher levels of support to members of ISV Advantage for Industries. Over the coming weeks, IBM will spell out the terms, conditions, and benefits of each program to the ISV community.

Are More Mid-Market Solutions Ahead?

According to sources inside IBM, the company is committing significant resources to recruit ISVs to its industry strategy. Already, IBM has mobilized teams in its Sales and Distribution and Industry groups to call on key software vendors. The PartnerWorld organization is also assembling field teams to help in the recruiting process. As one source told me, the goal is to recruit over 1,000 ISVs to the new programs within 12 to 18 months.

If Big Blue achieves this objective, the benefits for iSeries customers could be considerable. With its support for both OS/400 and Linux, the iSeries could be a target platform for many of the industry solutions that come from IBM's new programs. This could especially be the case in industries such as automotive and government, where the iSeries holds a significant market shares. However, the degree to which the iSeries benefits will largely depend on what IBM does to make its industry-specific middleware platforms run on the server. The company has yet to provide an answer to that question, though I hope to get one soon.

Regardless of what happens on the iSeries, one thing is clear: IBM is committed to recruiting more of the ISVs that serve medium-size companies. That will only increase the tension between IBM and vendors such as Microsoft and Oracle that want to capture this market for themselves. As a result, 2004 will be a pivotal year in which many ISVs and their mid-market customers will make "bet the business" decisions about their strategic software platforms.

Lee Kroon is a Senior Industry Analyst for Andrews Consulting Group, a firm that helps mid-sized companies manage business transformation through technology.

LEE KROON
Lee Kroon is a Senior Industry Analyst for Andrews Consulting Group, a firm that helps mid-sized companies manage business transformation through technology.
BLOG COMMENTS POWERED BY DISQUS

LATEST COMMENTS

Support MC Press Online

$

Book Reviews

Resource Center

  • SB Profound WC 5536 Have you been wondering about Node.js? Our free Node.js Webinar Series takes you from total beginner to creating a fully-functional IBM i Node.js business application. You can find Part 1 here. In Part 2 of our free Node.js Webinar Series, Brian May teaches you the different tooling options available for writing code, debugging, and using Git for version control. Brian will briefly discuss the different tools available, and demonstrate his preferred setup for Node development on IBM i or any platform. Attend this webinar to learn:

  • SB Profound WP 5539More than ever, there is a demand for IT to deliver innovation. Your IBM i has been an essential part of your business operations for years. However, your organization may struggle to maintain the current system and implement new projects. The thousands of customers we've worked with and surveyed state that expectations regarding the digital footprint and vision of the company are not aligned with the current IT environment.

  • SB HelpSystems ROBOT Generic IBM announced the E1080 servers using the latest Power10 processor in September 2021. The most powerful processor from IBM to date, Power10 is designed to handle the demands of doing business in today’s high-tech atmosphere, including running cloud applications, supporting big data, and managing AI workloads. But what does Power10 mean for your data center? In this recorded webinar, IBMers Dan Sundt and Dylan Boday join IBM Power Champion Tom Huntington for a discussion on why Power10 technology is the right strategic investment if you run IBM i, AIX, or Linux. In this action-packed hour, Tom will share trends from the IBM i and AIX user communities while Dan and Dylan dive into the tech specs for key hardware, including:

  • Magic MarkTRY the one package that solves all your document design and printing challenges on all your platforms. Produce bar code labels, electronic forms, ad hoc reports, and RFID tags – without programming! MarkMagic is the only document design and print solution that combines report writing, WYSIWYG label and forms design, and conditional printing in one integrated product. Make sure your data survives when catastrophe hits. Request your trial now!  Request Now.

  • SB HelpSystems ROBOT GenericForms of ransomware has been around for over 30 years, and with more and more organizations suffering attacks each year, it continues to endure. What has made ransomware such a durable threat and what is the best way to combat it? In order to prevent ransomware, organizations must first understand how it works.

  • SB HelpSystems ROBOT GenericIT security is a top priority for businesses around the world, but most IBM i pros don’t know where to begin—and most cybersecurity experts don’t know IBM i. In this session, Robin Tatam explores the business impact of lax IBM i security, the top vulnerabilities putting IBM i at risk, and the steps you can take to protect your organization. If you’re looking to avoid unexpected downtime or corrupted data, you don’t want to miss this session.

  • SB HelpSystems ROBOT GenericCan you trust all of your users all of the time? A typical end user receives 16 malicious emails each month, but only 17 percent of these phishing campaigns are reported to IT. Once an attack is underway, most organizations won’t discover the breach until six months later. A staggering amount of damage can occur in that time. Despite these risks, 93 percent of organizations are leaving their IBM i systems vulnerable to cybercrime. In this on-demand webinar, IBM i security experts Robin Tatam and Sandi Moore will reveal:

  • FORTRA Disaster protection is vital to every business. Yet, it often consists of patched together procedures that are prone to error. From automatic backups to data encryption to media management, Robot automates the routine (yet often complex) tasks of iSeries backup and recovery, saving you time and money and making the process safer and more reliable. Automate your backups with the Robot Backup and Recovery Solution. Key features include:

  • FORTRAManaging messages on your IBM i can be more than a full-time job if you have to do it manually. Messages need a response and resources must be monitored—often over multiple systems and across platforms. How can you be sure you won’t miss important system events? Automate your message center with the Robot Message Management Solution. Key features include:

  • FORTRAThe thought of printing, distributing, and storing iSeries reports manually may reduce you to tears. Paper and labor costs associated with report generation can spiral out of control. Mountains of paper threaten to swamp your files. Robot automates report bursting, distribution, bundling, and archiving, and offers secure, selective online report viewing. Manage your reports with the Robot Report Management Solution. Key features include:

  • FORTRAFor over 30 years, Robot has been a leader in systems management for IBM i. With batch job creation and scheduling at its core, the Robot Job Scheduling Solution reduces the opportunity for human error and helps you maintain service levels, automating even the biggest, most complex runbooks. Manage your job schedule with the Robot Job Scheduling Solution. Key features include:

  • LANSA Business users want new applications now. Market and regulatory pressures require faster application updates and delivery into production. Your IBM i developers may be approaching retirement, and you see no sure way to fill their positions with experienced developers. In addition, you may be caught between maintaining your existing applications and the uncertainty of moving to something new.

  • LANSAWhen it comes to creating your business applications, there are hundreds of coding platforms and programming languages to choose from. These options range from very complex traditional programming languages to Low-Code platforms where sometimes no traditional coding experience is needed. Download our whitepaper, The Power of Writing Code in a Low-Code Solution, and:

  • LANSASupply Chain is becoming increasingly complex and unpredictable. From raw materials for manufacturing to food supply chains, the journey from source to production to delivery to consumers is marred with inefficiencies, manual processes, shortages, recalls, counterfeits, and scandals. In this webinar, we discuss how:

  • The MC Resource Centers bring you the widest selection of white papers, trial software, and on-demand webcasts for you to choose from. >> Review the list of White Papers, Trial Software or On-Demand Webcast at the MC Press Resource Center. >> Add the items to yru Cart and complet he checkout process and submit

  • Profound Logic Have you been wondering about Node.js? Our free Node.js Webinar Series takes you from total beginner to creating a fully-functional IBM i Node.js business application.

  • SB Profound WC 5536Join us for this hour-long webcast that will explore:

  • Fortra IT managers hoping to find new IBM i talent are discovering that the pool of experienced RPG programmers and operators or administrators with intimate knowledge of the operating system and the applications that run on it is small. This begs the question: How will you manage the platform that supports such a big part of your business? This guide offers strategies and software suggestions to help you plan IT staffing and resources and smooth the transition after your AS/400 talent retires. Read on to learn: