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February Brings Big Changes to System i Community

Analysis of News Events
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It has been an entire month since my last report on the events that are shaping the System i community. I'm glad to be back, as the news wires are heating up with several important stories. So without further ado, let's jump into what could be one of the hottest stories for System i developers this year: the changes that are coming to their toolsets.

New WDSc Version Offers Roses...and Perhaps a Thorn or Two

Last Tuesday, IBM officially announced WebSphere Development Studio Client (WDSc) 7.0. With its numerous enhancements, WDSc 7.0 could help System i developers migrate to a toolset that supports application modernization. However, IBM could squelch many of those migrations if it does not provide a smooth upgrade path to WDSc for the thousands of developers who use CoOperative Development Environment (CODE). Unfortunately, some of Big Blue's actions and statements could erect roadblocks to such upgrades.

Before I dive into the potential dark side of the WDSc announcement, let's examine the definite bright side. When developers examine WDSc 7.0, they will find several new features that make it easier to migrate off traditional tools such as Programming Development Manager (PDM) and Source Entry Utility (SEU), including these:

  • Selective installation—The new version is the first to let developers install selected WDSc components instead of the whole enchilada. This allows programmers to create "light" configurations that fit in as little as 256 KB of their workstations' memory. That could allow many development teams to switch to WDSc without having to upgrade or replace workstations.
  • A kinder, gentler RSE—While Remote Systems Explorer (RSE) is powerful, many developers struggle to migrate to it from PDM/SEU. The new WDSc version smoothes the path for PDM/SEU users by providing a "First Steps" guide that appears in the Welcome view. IBM has also added User Roles to RSE that simplify the tool by letting programmers see only the functions required to do their jobs.

In addition, WDSc 7.0 packs some enticing functional enhancements. For instance, the Integrated iSeries Debugger now supports the debugging of suspended programs. Developers can create Web applications that combine screens that have been Web-enabled using both the WebFacing tool and the HATS Toolkit. In addition, RSE has a new iSeries Data Table View that lets you display the contents of data physical file members.

At the same time that it released WDSc 7.0, IBM took several actions that are mystifying some developers and angering others. First off, the company issued a planning statement in which it said that CODE tools are "deprecated" in WDSc 7.0. Put simply, this means that there will be no future enhancements to the CODE tools. They will not be updated to work with new i5/OS releases, nor will they be ported to future Windows releases. As such, developers will not be able to run CODE on Windows Vista workstations, nor will they be able to use the tools to work with any syntax changes to RPG and other supported languages.

None of this would be that terrible if IBM were to provide CODE users with a relatively painless migration path to a functional equivalent within WDSc. However, that is not currently the case as there is not yet an equivalent tool to CODE Designer in WDSc. True, WDSc 7.0 does include a "technology preview" version of a new Screen Designer for RSE that will eventually be equivalent to CODE Designer. However, this tool is available only in the Advanced Edition of WDSc 7.0. While the standard edition of WDSc 7.0 is free to users on software maintenance contracts, it costs $3,480 per user to upgrade to the Advanced Edition.

So...what's the bottom line for CODE users? Unless IBM moves the RSE Screen Designer into the standard edition of WDSc, CODE users will eventually be forced to select from three unsavory options. They could pay a high price for the Advanced Edition to get the replacement to CODE Designer, go back to using the antiquated Screen Design Aid (SDA) tool, or limp along with a CODE toolset that no longer supports the latest syntax changes.

Of course, IBM could recognize this problem and find ways to correct it in the coming months. The System i tools team has plenty of people who understand the dilemmas that developers face. However, the team needs customer feedback to help it act as an advocate with the rest of IBM. If you are concerned about the latest WDSc policies, I would encourage you to say so in the discussion section that is attached to this article. By the way, look for additional coverage on WDSc 7.0 in general and this topic in particular from Joe Pluta and the rest of the MC Press Online team.

Application Vendors Square Off for Mid-Market Slugfest

During February, three of the world's largest application vendors launched initiatives to claim greater shares of mid-market companies in general and System i users in particular. First out of the gate was SAP, which announced a new version of its flagship solution for mid-sized companies, SAP All-in-One.

In many ways, the new All-in-One is a significant departure from the past. While previous versions are essentially downsized amalgamations of SAP R/3 and mySAP code, the new All-in-One is based entirely on mySAP ERP 2005, the vendor's current offering for large enterprises. The new version also features a more intuitive user interface, integrated reporting capabilities, and a customer relationship management suite. SAP also unveiled a program to help partners customize All-in-One for different regions and micro-industries.

A few days after SAP's launch, mid-market veteran Lawson Software announced an expanded relationship with its long-time partner IBM. Under a new agreement, the two companies will co-develop solutions for the banking, insurance, fashion, and food and beverage industries. IBM Global Services will help Lawson tailor its M3 and S3 application suites for these industries and integrate them with IBM's middleware and servers, including the System i. In addition, Big Blue will put marketing and sales resources behind the customized solutions. IBM's backing could help Lawson become more competitive with Infor, Microsoft, Oracle, and SAP in the four industries it is targeting.

Speaking of Oracle, the software giant took the stage in mid-February to announce a new family of solutions for small and medium-sized companies. The solutions, known collectively as Oracle Accelerate, integrate Oracle's E-Business Suite, JD Edwards EnterpriseOne, PeopleSoft, and Siebel product lines with industry-specific expertise from its business partners. Under its new strategy, Oracle will recruit regional solution providers to configure and support its applications for 70 industries. Each Accelerate solution provider will be able to purchase heavily discounted licenses for Oracle's applications. This could give Accelerate partners the margin they need to sell Oracle's applications to smaller companies that have been out of the vendor's reach.

The announcements from SAP, Lawson, and Oracle present unique opportunities and challenges for System i users. That's because nearly all of the new offerings will run on IBM's midrange server, though some Oracle Accelerate offerings will do so only within an AIX or Linux partition. As such, System i users who are in the market for enterprise applications will have several new options to evaluate in the coming months.

IT Budgets Show Further Signs of Shrinkage

In line with my predictions last September, recent surveys of IT spending indicate that this year's budget increases will not be as hefty as last year's. During the final days of 2006, participants in a CIO magazine tech poll said they would increase their IT spending by an average of 5.8% over the next 12 months. This was down significantly from the 6.5% increase cited by those who took the same survey three months earlier. On a more dire note, a recent Forrester Research study of small and medium-sized businesses in North America predicts that IT spending among these firms will rise by only 2% this year.

I am still maintaining that when all is said and done, mid-market firms in North America will log IT spending increases in the 4% to 6% range this year. This does not mean that everyone will fall within these ranges. For instance, companies in housing-related industries will likely see spending reductions rather than increases. Reductions could also hit consumer discretionary firms in the leisure and entertainment sectors. Most other industries will probably muddle along with respectable but less-than-spectacular increases.

Being the amateur economist that I am, I'll revisit this issue in the future. When I return in a couple of weeks, however, I'll be dealing with news of a considerably more technical bent, so stay tuned.

Lee Kroon is a Senior Industry Analyst for Andrews Consulting Group, a firm that helps mid-sized companies manage business transformation through technology. You can reach him at This email address is being protected from spambots. You need JavaScript enabled to view it..

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.
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