Microsoft's Midrange Alliance Making Inroads with System i Vendors
Date Posted: March 17, 2008 12:00 AM

The noticeable quiet coming from Microsoft's Midrange Alliance may be misleading. The two-year-old program, designed to help midrange software vendors and customers find their way to the Windows platform, is working the front line of modernization.

The Microsoft program connects System i software vendors and customers with a company that can assist them in modernizing green-screen environments by integrating Windows and System i applications, extending System i applications to Windows, and eventually migrating workloads from the System i platform to a Windows platform.

It seems to be making inroads into the System i installed base.

One of the more recent software moves occurred last October when Pathix announced the migration of Navixa, its aviation-management software system, from IBM's System i platform to Microsoft's .NET framework using ASNA technology. Pathix is rebranding the software NavixaMRO.

Anne Ferguson, the CEO of ASNA, explained that Pathix is porting Navixa to the .NET platform to increase business sales. Pathix says it will continue to support Navixa on the System i platform -- for now.

"Previously, Pathix experienced numerous situations whereby it would respond to an RFP and meet 90-plus percent of the requirements but would get disqualified because Navixa ran only on the System i," Ferguson says. "Now with the migration of Navixa to .NET, the company can expand its sales into a whole new market that wasn't open to it before."

Both Microsoft and IBM are unwilling to comment on the Midrange Alliance topic although Microsoft did make reference to the program's website.

Analysts suggest that measuring the activity of Microsoft's Midrange Alliance program is somewhat difficult. "Apart from some marketing dollars and courting System i ISVs, it is hard to say," [what the status of the program is] notes Dennis Szubert, a principal analyst with Quocirca Ltd.

In response to Microsoft's program, IBM developed its own ISV support network -- called the System i Initiative for Innovation -- so that IBM could strengthen its own relationships with ISVs.

"This includes e-support services for ISVs, such as free support in architecture, education, and conversions; a portfolio of tools designed to enable partners to enhance their current applications; and an advisory council to help influence the long-term strategy of the products being developed under the Initiative for Innovation", Szubert says.

Rob Enderle, an analyst with the Enderle Group, sees Microsoft's Midrange Alliance program as a strategic one. However, the success of the program will depend on how much focus Microsoft puts on it.

He believes that Microsoft is resourcing the program this year. "Like plenty of other firms, Microsoft sees this market as a largely untapped one, and the company is increasing focus because enterprise sales are so soft," Enderle says. "It has had its ups and downs -- large companies seem to have a hard time keeping focused on this segment, and Microsoft, historically, has been no exception."

Further, Enderle believes that although Microsoft's actions will have a significant impact on the System i, the Midrange Alliance program's success at making inroads into the System i installed base depends more on IBM's own support of and resources it allocates to the System i.

"I just see the broader impact being IBM's own hardware plans and how aggressively it supplies the cost-effective hardware, software, and service solutions this segment is demanding," Enderle says. "IBM has pulled a lot out of marketing in this segment, and I expect that will have a bigger impact over the next year than anything Microsoft does competitively."


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  • Doug Fulmer
    4 years ago
    Mar 17, 2008

    Microsoft's Midrange Alliance has been around for a couple of years. It was modeled after IBM's Tools Network program (the predecessor to the Initiative for Innovation by five years or so - Mr. Szubert has his facts wrong on that point). MMA originally tried to borrow IBM's Developers Road Map to create a footprint and create a model to expand its System i presence. Microsoft has thrown a LOT of marketing money at System i tool partners (much more than IBM) and solution partners to help expand its presence in the System i customer space beyond Office at the end user desktop. While I applaud Microsoft for making the significant financial commitment to the System i space and promoting tools that even RPG programmers can leverage, I agree with Rob Enderle, that the real threat is IBM's lack of support for and financial commitment to the space - mostly driven by IBM Software Group's aversion to tools not written by IBM and IBM STG's continuing confusion over how to position System i vs System p (all this current unification talk not withstanding). It is just good strategy for Microsoft to jump into the void created by IBM if they are to move up into the mid tier of SMB. For the most part, the partners that are in the MMA are not partners that are eliminating their System i tooling at all. They are just adding tooling that accesses System i data or that complements existing RPG and COBOL applications. They are leveraging Microsoft's marketing funds and programs as an alternate route to market since IBM has consistently cut funding in that area (good strategy by the partners). Partners like SystemObjects, LANSA, HIT, RJS, Original Software, WebSydian, CA, Aldon, PA Townsend, Seagull and look Software have had both System i and Windows products for years. ASNA has tooling (Monarch) designed to pull applications off the System i, but most of their Visual RPG customers just exploit .NET frameworks to build client server apps that access the data on System i. This is just another day in a very competitive space of the very competitive IT business....... Aggressive customers want GUI interfaces and less expensive hardware....... Software companies will join any program that helps them (read: gives them money to) attack their market........ This is new news?

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