Microsoft targets app server software market
By Mike Ricciuti
Staff Writer, CNET News.com
February 24, 1999, 12:50 p.m. PT
Microsoft knows a hot market when it sees one.

The company today took steps to plant its flag in the booming market for
application server software.

Microsoft also announced that it has signed deals with Compaq, CSC
Consulting, Ontos and other companies to support various technologies in
its Windows NT operating system that the company is now referring to as its
application server.

Analysts and competitors have long referred to various Microsoft
technologies, such as Microsoft Transaction Server, Message Queuing
Services, Active Server Pages, Internet Information Server, and the
company's Component Object Model (COM), as its application server offering.
But Microsoft has not used the term itself until recently. Those
technologies has also been grouped under the "COM+" moniker.

By adopting the application server label, Microsoft has finally succumbed
to competitive pressures, said Eric Brown, an analyst with Forrester
Research. " We knew Microsoft had one [application server]--they finally
fessed up and said 'yes we do'. This is a late and long coming decision
from Microsoft," he said.

Brown argues that Microsoft's real application server is Windows NT itself,
since the company does not sell a standalone application server product.
"All five COM+ products are free -- there's no separate product on the SKU
list. NT is the application server that you pay for," said Brown.

Brown said every major infrastructure software company in the market today
must have application server product to survive. Application server
software sits behind a Web server and handles users' browser-based requests
for dynamic Web pages or information coming from back-end databases. The
software has become hugely popular--at least in the marketing departments
at software makers--as the number of Web-based applications being deployed
by corporations grows.

By Brown's estimates, there were more than 50 application server makers in
the market last fall, which he considered the peak of application server
mania. That list has since been winnowed down through acquisitions and
partnerships, he said.

Joe Maloney, a marketing manager at Microsoft, said competitors, including
Netscape Communications, Oracle, and IBM, sell separate products called
application servers, which offer the same features as Microsoft's
collection of technologies, which are being bundled into Windows 2000, due
later this year.

Maloney also points to a recent survey by Forrester Research as proof that
Microsoft already owns a sizable chunk of the application server software
market. Forrester polled Fortune 1,000 companies and asked them which
application server they were currently using. Forty-six percent said they
were using Microsoft's Transaction Server, even though the software has not
been specifically marketed as an application server.

To drive it even further into the application server space, Microsoft has
signed up Compaq to provide consulting services to help customers install
Windows-based applications. The company will devote 200 engineers and six
development centers to Microsoft applications, said Maloney. CSC will also
dedicate a service to installing Microsoft technology. Ontos will provide
consulting services.

Also, XtremeSoft, a Lexington, Massachusetts-based software developer, has
announced COMitor, a performance monitoring tool for Microsoft Transaction
Server and COM+ applications.

Microsoft's application server package is limited to Windows-only
applications, but can pull data from Unix-based and mainframe systems.
Competitors products run on both Windows NT and Unix, and favor Enterprise
Java Beans over Microsoft's COM technology.

Steven Robins, an analyst with the Yankee Group, said that Microsoft's
Windows bias may not be issue to application server buyers. "It's still
limted to Windows, yes. But they can work with other object models, and
they can certainly pull information from various sources."


From MAILER-DAEMON@cs.depaul.edu Sun Feb 28 14:01:47 1999