RE: NY Times Reports "Little Blue "- IBM to Offer Smaller Version Of Its Mainframe Computer

The price entry point is even less when you take in to account the
emulated mainframes.  There is a company that sells software that runs
on UNIX/Linux that emulates mainframe hardware.  Both versions of IBM's
mainframe OS's (Z/OS, formerly MVS, and VSE) will run on Intel platform
servers.

And yes it cuts into the Systems I sales.  But remember, IBM sells
hardware for love and software because they have to.

I believe the ultimate strategy from IBM is to be able to sell 1 box and
run whatever you want on it.

> -----Original Message-----
> From: midrange-l-bounces@xxxxxxxxxxxx [mailto:midrange-l-
> bounces@xxxxxxxxxxxx] On Behalf Of Ketzes, Larry
> Sent: Thursday, April 27, 2006 9:03 AM
> To: Midrange Systems Technical Discussion
> Subject: RE: NY Times Reports "Little Blue "- IBM to Offer Smaller
Version
> Of Its Mainframe Computer
> 
> I may be the only person thinking this, but isn't this new 'smaller
> Mainframe' going to cut into new System I sales?
> 
> ======================
> 
> Larry Ketzes
> Senior Security Project Analyst
> American Life Insurance Company
> 
> One ALICO Plaza
> 600 King Street
> Wilmington, DE 19801
> Phone: 302-594-2146
> Mobile: 302-559-1631
> Email: larry.ketzes@xxxxxxx
> 
> -----Original Message-----
> From: midrange-l-bounces@xxxxxxxxxxxx
> [mailto:midrange-l-bounces@xxxxxxxxxxxx] On Behalf Of Glenn Ericson
> Sent: Thursday, April 27, 2006 6:53 AM
> To: MIDRANGE-L@xxxxxxxxxxxx
> Subject: NY Times Reports "Little Blue "- IBM to Offer Smaller Version
Of
> Its Mainframe Computer
> 
> 
> 
> Financial News
> Print This Page
> 
> Updated 12:01 AM ET April 27, 2006
> 
> IBM to Offer Smaller Version Of Its Mainframe Computer
> 
> By Charles Forelle
> 
> Call it Little Blue.
> 
>
<http://www.smartmoney.com/att/eqsnaps/index.cfm?story=snapshot&symbol=i
bm
> >I
> nternational
> Business Machines Corp. will soon begin selling a
> junior version of its flagship mainframe
> computer, pitching the machine at small and
> medium-size businesses concerned about the
> security and reliability of lower-cost servers.
> 
> The economy model, called the z9 Business Class,
> will start at $100,000, well below the
> quarter-million-dollar figure that is a typical mainframe starting
point.
> 
> The move, expected to be announced today in
> Beijing, represents an effort to extend the life
> of the venerable machine, whose lineage goes back
> more than four decades. The mainframe, though
> less central to Big Blue than it was in eras
> past, remains a substantial source of profit,
> since the pricey machines have few competitors.
> Sales of mainframes also drag in other business,
> such as software and services needed to set them up.
> 
>
<http://www.smartmoney.com/att/eqsnaps/index.cfm?story=snapshot&symbol=S
ta
> ll
> ings,
> Jim>Jim Stallings, IBM's general manager for the
> mainframe unit, said the announcement is a
> "statement that long term," the mainframe "is a growth platform."
> 
> The mainframe, once derided as ancient and
> obsolete, is alive and kicking, if not flying out
> the door. Sales have been up and down: They rose
> 15% from 2003 to 2004, then fell 8% from 2004 to
> 2005, IBM said, though it doesn't disclose precise figures.
> 
> The big machines were long aimed at financial
> institutions and government agencies that value
> them for their tight security and heavy-duty
> processing horsepower. But in recent years they
> have taken on nimbler tasks. IBM has designed
> special modules that allow users to run the free
> Linux operating system on the mainframe, as well
> as applications based on Java software technology
> that is popular for Web-based programs. At the
> same time, IBM's competitors have tried to lure
> longtime mainframe users to cheaper machines.
> 
> But sales of the special Java and Linux modules
> have been growing, Mr. Stallings said, indicating
> that some companies are devoting mainframe space
> to tasks that once ran on low-cost servers.
> 
> Write to Charles Forelle at charles.forelle@xxxxxxx
> 
> Copyright (c) 2006 Dow Jones & Com
> --
> This is the Midrange Systems Technical Discussion (MIDRANGE-L) mailing
> list
> To post a message email: MIDRANGE-L@xxxxxxxxxxxx
> To subscribe, unsubscribe, or change list options,
> visit: http://lists.midrange.com/mailman/listinfo/midrange-l
> or email: MIDRANGE-L-request@xxxxxxxxxxxx
> Before posting, please take a moment to review the archives
> at http://archive.midrange.com/midrange-l.
> --
> This is the Midrange Systems Technical Discussion (MIDRANGE-L) mailing
> list
> To post a message email: MIDRANGE-L@xxxxxxxxxxxx
> To subscribe, unsubscribe, or change list options,
> visit: http://lists.midrange.com/mailman/listinfo/midrange-l
> or email: MIDRANGE-L-request@xxxxxxxxxxxx
> Before posting, please take a moment to review the archives
> at http://archive.midrange.com/midrange-l.