IBM Announces Mainframe Strategy to Anchor On Demand Business

Expands Role of Mainframe in Emerging Markets Around the World

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ARMONK, NY - 07 Oct 2004: IBM today announced a comprehensive set of investments, initiatives and technology introductions in support of the IBM mainframe computing platform. At customer events in Paris, Tokyo and New York, IBM outlined a strategy aimed at leveraging the mainframe's strengths to help customers become on demand businesses.
IBM said the actions would help address customer requirements for resilient, secure, integrated and intelligent mainframe computing capabilities across their IT infrastructure. As businesses adapt their environments to meet today's challenges, they are realizing the need to weave together their disparate resources within their on demand operating environment into a global fabric, from which information, applications, and technology components can be managed more efficiently in a unified manner. As a result, IBM is leveraging its assets across the company and aligning investments to help clients more quickly implement and manage cross-platform on demand operating environments.

Specific investments and initiatives include:

Industry focused solutions. IBM is:

Increasing focus on IBM Business Partners and skills training. IBM is:

Technology and offering developments. IBM is:

Investments in emerging markets, beginning with China. IBM is:

"Over the past 40 years, we've witnessed industry's evolve from a few transactions per week to millions of transactions per second," said Erich Clementi, general manager, IBM eServer zSeries. "Today, businesses are designing infrastructures intended for the next 20 years, and we are teaming with them to build these global on demand computing fabrics that link tens of thousands of users across open infrastructures, and extending datacenter-level security to the edges of their vast network. This is the time for mainframe computing."

Customers and ISVs are embracing the mainframe-anchored IBM strategy for on demand businesses.

Worldspan, a leader in travel technology services for travel suppliers, travel agencies, e-commerce sites and corporations worldwide, uses IBM eServer zSeries mainframes and Transaction Processing Facility as a pivotal component of its open IT architecture.

"In our business, we need to be able to rapidly respond to thousands of users on a global basis with information that is changing every second in order to deliver the best possible service to our customers," said David Lauderdale, chief technology officer and senior vice president, Worldwide Technical Operations for Worldspan. "With the introduction of z/TPF, IBM adds the increased productivity of a modern Linux development environment to TPF. With this IBM technology, we are able to meet our customer demands and respond more quickly to changing user requirements with a system that provides high levels of scalability, security and resiliency."

Beginning in September 2001, IBM announced sub-capacity pricing to help customers optimize their data center investments and ready the platforms for new workloads. Since that time IBM has extended this offering to include the IBM integrated tools portfolio. ISV's are also moving to usage-based pricing for the zSeries platform.

"By offering Measured Workload Pricing for our management solutions on IBM eServer zSeries, Computer Associates is offering IT organizations greater flexibility in aligning technology spending with evolving business needs," said Mark Combs, senior vice president of corporate pricing at CA. "This will enable our customers to maximize their data center investments and fully leverage the power of their mainframe resources on an on-demand basis."

"Customers today require alignment of IT with the business in order to assure flexibility and agility in dealing with the dynamics of a rapidly changing marketplace. The combination of IBM's On Demand strategy and BMC's Business Service Management offerings enables customers to align business and IT across the zSeries and distributed environments," said Bill Miller, vice president and general manager, mainframe business unity, BMC Software.

Today's announcement comes as the IBM zSeries mainframe platform experiences tremendous momentum with our clients. Much of the system's popularity owes to its ability to support and bolster ultra-high transaction business environments. With the growth of on demand businesses, IBM is responding to client's demands by leveraging the enterprise-class qualities of service provided by zSeries to build strong heterogeneous solutions, helping clients manage business processes across the enterprise.