Frbiz.com analyzes IBM dominate the mainframe market would be anti-monopoly investigation
Beijing October 9, “Business Week” article points out that the U.S. Department of Justice antitrust investigation into the mainframe as an object may seem strange, though these devices seem outdated, but in fact they played a very important cloud computing role.
On the surface, the U.S. Justice Department investigation of IBM seem strange. The federal antitrust agencies have on the IBM in the mainframe market to investigate business practices, those super-computer can help banks and telecommunications service providers to handle large amounts of data.
However, IT consultancy firm to study the mainframe market, Gartner vice president Jeffrey Hewitt pointed out that the mainframe market, the current size of 6.5 billion, IBM at this piece of market share as high as 85%, many people believe that the market has already begun down the pave the way for the. IBM’s mainframe business in the second quarter revenue plummeted by 39%. In the past 10 years, many companies have, from the cost of up to 250,000 U.S. dollars or even millions of dollars in mainframe turned to smaller, cheaper servers. General industry view on the whole, the price of the server is still cheaper.
So why the federal government will be concerned about the mainframe market? WinterGreen Research president Susan Eustis took three years to compare the cost of servers and mainframes, and she concluded that: In fact, the operation of mainframe costs far less than the server’s operating costs.
Mainframe can be significant cost savings
Studied the retail, financial services and insurance industry, many companies, she concluded that: In some cases, the mainframe’s operating costs may be only one-tenth of the cost of the server is running. Simply put, the mainframe can include thousands of servers than in the data center more efficiently handle large volumes of workload. For example, when the data center, a company may need to 30000 servers running three 1000 applications. However, if the use of mainframe, then that company just a single mainframe can run those three thousand applications.
For now increasingly popular cloud computing, the mainframe’s role is particularly large. Eustis said that some applications require long-term sustainable manner, but in a different allocation of tasks on the server data center may not be able to ensure its reliability. In the last few weeks, all met with Gmail to stop service failure may get the same feeling.
In fact, Eustis said that when IBM distributed servers to mainframe-house by the time it saved power based on resources to control costs. The current price is still soaring, a server to run the electricity consumed by the cost of one year with the purchase of a new server costs have been spent almost the same. Power consumption of a single mainframe than 30000 servers consume even less power.
Enterprise users are concerned about IBM’s market dominance
IBM in the mainframe business does not lose the development potential, which recently launched a new mainframe software, and in July the appointment of a senior veteran Tom Rosamilia, general manager for the mainframe business. Rosamilia One of the tasks is to make it easier for business users to run new applications on the mainframe software.
However, it was pointed out, IBM in the mainframe market, the impact on the business practices and fair competition. Computer and Communications Industry Association, strongly urged the Justice Department investigation, which claimed to IBM through certain means to enable the business users of computing platforms is difficult to replace or exchange with the competitor’s software or components. IBM said that any investigation for the Justice Department, which would give a positive complement each other.
Eustis said that some companies do not want to use mainframes because they fear they will over-reliance on the IBM, as well as in equipment procurement price they can not consult with the IBM. She added that the government hopes to take some measures to strengthen the competitiveness of the mainframe market, which may alleviate the concerns of those companies, thereby enhancing the mainframe market.
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