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A month has gone by for the reason that the final profits report for IBM (IBM). Shares devour delivered about 3.9% in that time frame, underperforming the S&P 500.
Will the coincident wonderful trend proceed main as much as its subsequent profits free up, or is IBM due for a pullback? before they dive into how traders and analysts devour reacted as of late, let's bewitch a short seem to live at the most coincident earnings document with a purpose to accumulate an improved deal with on the crucial drivers.
IBM this autumn profits Beat Estimates, Revenues Decline Y/Y
overseas enterprise Machines Corp delivered fourth-quarter 2018 non-GAAP earnings of $4.87 per share, which beat the Zacks Consensus appraise of $4.eighty one per share. despite the fact, profits per share (EPS) reduced 5.9% from the 12 months-ago quarter. The year-over-year decline in EPS can furthermore live attributed to greater tax rate.
Revenues of $21.seventy six billion devour been almost in keeping with the Zacks Consensus appraise of $21.74 billion and declined 3.5% on a yr-over-yr groundwork. At constant forex (cc), revenues dipped 1%. The 12 months-over-yr decline can basically live attributed to forex fluctuation and headwinds from IBM Z product cycle.
exceptionally, IBM cited that signings surged 21% on cc foundation to $15.8 billion. features backlog declined 1% yr over year and came in at $116 billion.
Geographic income details
Revenues from Americas were down 4%, reflecting the headwind from the IBM Z product cycle. besides the fact that children, endured enlarge in Latin the united states become a positive.
Europe, center-East and Africa extended 2% from the yr-ago quarter notably because of boom in Spain, Germany, Italy and the U.k.
Asia-Pacific revenues declined 1% on a year-over-year foundation with modest enlarge in Japan.
Strategic Imperatives growth Continues
Strategic Imperatives (cloud, analytics, mobility and safety) grew 5% at cc from the year-in the past quarter to $eleven.5 billion. except IBM Z product cycle strike Strategic Imperatives grew 11% yr over year.
security revenues surged 17% (apart from IBM Z product cycle devour an outcome on) and declined three% on cc foundation. On a trailing 12-month basis, Strategic Imperatives revenues were $forty billion, up 9%.
Cloud revenues surged 6% from the yr-in the past quarter to $5.7 billion and 19% (excluding IBM Z product cycle devour an outcome on). The annual dash cost for cloud as-a-carrier revenues extended 21% at cc on a 12 months-over-yr basis to $12.2 billion.
Cloud revenues of $19.2 billion on a trailing 12-month groundwork expanded 12% year over year.
Cognitive Revenues Surge
Cognitive solutions’ revenues-exterior increased 2% year over 12 months (on cc groundwork) to $5.5 billion. Revenues from Cognitive solutions (including options software and transaction processing) expanded primarily due to growth in solutions utility, together with analytics and synthetic intelligence (AI).
Segmental revenues relating Strategic Imperatives and Cloud elevated 9% and 5%, respectively. Cloud as-a-provider salary annual dash fee changed into $2 billion.
options utility contains offerings in strategic verticals fancy health, area-selected capabilities fancy analytics and protection, and IBM’s rising applied sciences of AI and blockchain. The facet furthermore comprises offerings that address horizontal domains fancy collaboration, commerce and talent. in the pronounced quarter, options application revenues improved three% 12 months over yr.
IBM cited that the mixing of AI into choices fancy client experience analytics in commerce locality helped SaaS signings to develop in double digit in the reported quarter.
Transaction Processing utility includes application that runs mission-important workloads, leveraging IBM’s hardware systems. Revenues were up 1% on a 12 months-over-yr groundwork.
IBM witnessed enlarge in trade verticals fancy health, key areas of analytics and protection in the quarter. Watson health witnessed large-based mostly enlarge in Payer, company, Imaging and life Sciences domains.
during the fourth quarter, IBM elevated partnership with Vodafone community. Per the deal, IBM’s superior hybrid cloud platform, AI, cyber web of things (“IoT”) capabilities will aid Vodafone company with digital transformation initiatives.
IBM pointed out that analytics carried out smartly in the quarter, pushed by statistics science choices and IBM Cloud inner most for records providing.
safety enlarge turned into pushed by means of offerings in orchestration, statistics protection and endpoint administration.
In blockchain, IBM announced addition of a few unusual purchasers totality through the quarter, which contains “work with sensible Dubai on the middle East’s first government-counseled blockchain platform.” The traffic furthermore unveiled an on-prem offering during the stated quarter, the IBM Blockchain Platform for IBM Cloud inner most. a number of unusual deal wins is furthermore helping IBM to fortify its foothold in blockchain know-how.
world enterprise capabilities Revenues enhance
Revenues from world company functions-exterior section were $4.3 billion, up 4% from the yr-in the past quarter (up 6% at cc). The yr-over-year enlarge became primarily due to growth across totality three traffic areas specifically consulting, application management and world technique functions.
Segmental revenues referring to Strategic Imperatives grew 14%. Cloud result surged 34%. Cloud as-a-carrier income annual dash rate turned into $2.1 billion.
application management revenues improved four% from the yr-in the past quarter. global technique services revenues climbed 5%. furthermore, Consulting revenues improved 10% yr over 12 months, driven via mighty efficiency from IBM’s digital enterprise.
expertise functions & Cloud systems: Revenues Dip
Revenues from expertise services & Cloud systems-exterior reduced three% from the year-ago quarter (flat at cc) to $8.9 billion. Segmental revenues bearing on Strategic Imperatives superior 13%, pushed via hybrid cloud services. Cloud surged 22% from the 12 months-ago quarter. Cloud as-a-carrier earnings annual dash expense became $8 billion.
Integration software extended 4% from the 12 months-in the past quarter. totality over the reported quarter, greater than 100 businesses world wide selected IBM Cloud private providing. Infrastructure capabilities revenues were flat on a year-over-yr groundwork.
Technical usher functions revenues decreased 3% from the 12 months-ago quarter.
vigour & z14 power systems Revenues
methods revenues lowered 21% on a 12 months-over-yr groundwork (down 20% at cc) to $2.6 billion, essentially due to repercussion of the IBM Z product cycle. Segmental revenues concerning Strategic Imperatives plunged 22%, whereas Cloud revenues declined 31%.
IBM Z revenues decreased forty four% 12 months over yr. youngsters, MIPS capacity has extended round 20%, driven with the aid of huge-based mostly adoption of the z14 mainframe.
vigor revenues accelerated 10% from the 12 months-in the past quarter. The upside was exceptionally as a result of Linux and robust adoption throughout the newest POWER9-based mostly architecture.
throughout the fourth quarter, IBM completed the launch of its subsequent era POWER9 processors for midrange and high-end techniques that are designed for dealing with advanced analytics, cloud environments and information-intensive workloads in AI, HANA, and UNIX markets.
IBM additionally added unusual offerings optimizing both hardware and software for AI. administration believes that products fancy PowerAI imaginative and prescient and PowerAI commercial enterprise will assist drive unusual customer adoption.
besides the fact that children, storage hardware revenues declined as a result of vulnerable efficiency within the mid-latitude conclusion, partly offset by using potent boom in totality gleam Arrays. IBM mentioned that pricing drive within the immensely competitive storage market is hurting revenues. The company introduced its unusual FlashSystems with subsequent technology NVMe know-how prerogative through the pronounced quarter.
operating systems utility revenues declined 3%, whereas programs Hardware slumped 23% from the yr-in the past quarter.
eventually, world Financing (contains financing and used machine sales) revenues reduced 11% 12 months over year and 9% at cc to $402 million.
Non-GAAP grievous margin remained unchanged from the year-ago quarter at forty nine.5%. The grievous margin benefited essentially through 190 groundwork elements (bps) expansion in services margin. youngsters, unfavorable blend in IBM Z product cycle fully offset this growth.
operating expense declined 5.3% 12 months over year, because of attention of acquisition synergies and improving operational efficiencies. IBM continues to invest in swiftly starting to live fields fancy hybrid cloud, simulated intelligence (AI), protection and blockchain.
Pre-tax margin from continuing operations accelerated 50 bps on a yr-over-year foundation to 23.1%.
Cognitive solutions and global company features section pre-tax margins multiplied 290 bps and 520 bps, respectively, on a yr-over-yr foundation. despite the fact, technology features & Cloud structures section pre-tax margin contracted 20 bps.
Non-GAAP operating margins from continuing operations contracted ninety bps and got here in at 20.three%.
steadiness Sheet & cash stream details
IBM ended fourth-quarter 2018 with $11.ninety nine billion in total money and marketable securities in comparison with $14.70 billion at the terminate of third-quarter 2018. total debt (together with present element) turned into $forty five.eight billion, down from $46.9 million from the former quarter.
IBM pronounced money circulate from operations (excluding international Financing receivables) of $7.3 billion and generated free cash circulate of $6.5 billion within the quarter beneath evaluate.
in the suggested quarter, the traffic returned $3.5 billion to shareholders via dividends and share repurchases. The enterprise lower back greater than $10 billion to shareholders via dividends and share repurchases for the entire fiscal year.
on the terminate of the year, the company had $three.3 billion remaining under current buyback authorization.
Fiscal 2018 Highlights
IBM suggested fiscal 2018 non-GAAP revenue of $13.eighty one per share, where as revenues came in at $seventy nine.6 billion, up 1% every year over 12 months.
Revenues from Cognitive options, international enterprise capabilities, technology services & Cloud structures, systems and international Financing got here in at $18.forty eight billion, $sixteen.eighty two billion, $34.46 billion, $8.03 billion and $1.59 billion, respectively.
IBM expects non-GAAP EPS forecast for 2019 to live at least $13.90.
IBM still anticipates 2019 free cash sail of $12 billion.
How devour Estimates Been pathetic considering that Then?
It seems, clean estimates flatlined throughout the past month.
at the moment, IBM has a subpar enlarge score of D, besides the fact that children its Momentum ranking is doing lots enhanced with a B. Charting a slightly similar direction, the stock turned into allocated a grade of A on the value side, putting it in the properly quintile for this funding method.
common, the inventory has an amalgam VGM rating of B. if you are not concentrated on one strategy, this rating is the one live sure to live attracted to.
IBM has a Zacks Rank #three (dangle). They are expecting an in-line return from the stock within the next few months.
want the latest ideas from Zacks investment analysis? today, you can download 7 most excellent shares for the subsequent 30 Days. click on to accumulate this free file international enterprise Machines organization (IBM) : Free inventory analysis report To read this text on Zacks.com click prerogative here. Zacks investment analysis
ARMONK, N.Y., Feb. 17, 2015 /PRNewswire/ -- IBM (NYSE: IBM) nowadays unveiled IBM Spectrum Storage, a brand unusual storage application portfolio designed to tackle facts storage inefficiencies through altering the economics of storage with a layer of shrewd utility. IBM's unusual storage software creates an effectual "statistics footprint" that dynamically outlets each bit of records at the most suitable charge, helping maximize efficiency and security.
IBM Spectrum Storage contains greater than seven-hundred patents and is designed to aid purchasers transform to a hybrid cloud traffic mannequin by means of managing large amounts of statistics the status they want it, how they want it, in a swiftly and effortless manner from a single dashboard. The application helps valued clientele tide facts to the commandeer place, at the correct time, from gleam storage for quickly access to tape and cloud for the bottom charge.
To speed up the pile of next-technology storage software, IBM furthermore announced plans to invest greater than $1 billion in its storage application portfolio over the next five years. With this funding, the traffic goals to prolong its storage technology management having these days been ranked #1 in application defined storage platforms for the first three quarters of 2014 by using main trade analyst solid IDC.1 The investment will focal point on R&D of recent cloud storage application, kick storage and open regular applied sciences together with OpenStack.
"a brand unusual approach is needed to abet consumers tackle the cost and complexity pushed by using huge data growth. ordinary storage is inefficient in modern-day world where the cost of every piece of records is changing the entire time," talked about Tom Rosamilia, Senior vice chairman, IBM systems. "IBM is revolutionizing storage with their Spectrum Storage utility that helps purchasers to extra efficaciously leverage their hardware investments to extract the complete enterprise cost of facts."
As unusual purposes require cloud start or deployment, the demand for storing information in the cloud is expanding. This requires a unusual approach to managing records with a layer of utility on accurate of latest storage hardware to pressure innovation. industry analyst company Gartner predicts that by using 2019, 70 p.c of current storage array products will even live obtainable as "software simplest" versions. And, by means of 2020, between 70 p.c and 80 p.c of unstructured statistics could live held on reduce-cost storage managed by using utility defined storage environments.2
To capture this chance, IBM is the primary company in the traffic to embark on an accelerated roadmap to extract intelligence from its gardenvariety storage hardware products enabling consumers to exhaust it in any form – as-a-service, as an equipment, or, as software. IBM Spectrum accelerate is the first software product that the company has in keeping with the utility from its XIV high-end storage appliance.
IBM Spectrum accelerate enables consumers to layer their infrastructure with intelligent points derived from XIV. These facets encompass unique architecture with zero-tuning that may aid valued clientele dynamically add storage capability in minutes versus the months it takes nowadays to add, deploy and dash storage hardware methods. The software can assist provide enterprise continuity upon disaster for totality dedicated information, compared to the haphazard of dropping 15 minutes of statistics or extra with inescapable other competing storage utility. both pace and information insurance policy are essential to valued clientele in statistics-pushed industries reminiscent of monetary capabilities, healthcare, retail and telecommunications as they are trying to find to installation unusual workloads on the hybrid cloud.
With this announcement, the traffic is making IBM Spectrum accelerate application open – in accordance with trade necessities and attainable for exhaust on commodity hardware. shoppers can exhaust Spectrum accelerate to pool current datacenter elements to construct their personal business-grade, scalable, hyper-cloud environment. the exhaust of a single, person-pleasant dashboard created with the aid of the IBM Design Lab and trade leading designers, the utility manages statistics flexibly and price-successfully throughout shoppers' present datacenters and aim-built cloud environments.
The XIV architecture has been confirmed in gigantic cloud environments with shoppers fancy Netflix, the on-demand cyber web streaming media enterprise.
Netflix currently became to IBM for assist making a more agile storage infrastructure for its becoming records management challenges. The company deployed IBM XIV Gen3 storage methods to manipulate its databases, construction, checking out and lower back-up operations. because of this, Netflix turned into able to supplant 16 current storage methods with simplest three XIV techniques for an eighty p.c reduction in exact facts seat flooring space, and it furthermore expects the techniques will permit the company to greatly enlarge its database transactions per minute.
integrated Seamless information circulate To and From Clouds
constructing off an IBM analysis invention, IBM later this yr plans to interpolate a multi-cloud connecter as a application feature in IBM Spectrum Storage.3 This feature will live designed to support companies dynamically migrate statistics throughout varied clouds, while holding it confidential. The feature will employ a "cloud-of-clouds" manner that invokes the resilience of separate clouds to present superior protection in opposition t provider outages and facts loss than any single cloud can bring.
Like different IBM Spectrum Storage offerings, IBM Spectrum accelerate comprises an intuitive, handy-to-use Graphical person Interface (GUI) administration dashboard, and integrates with IBM Spectrum manage for consolidated management. The IBM Spectrum speed up GUI can furthermore live dash on any browser enabled machine, from desktops to iOS and Android cell contraptions. The GUI, referred to as Hyper-Scale supervisor, lets purchasers control technical and administrative operations through a cellular dashboard on the tap of a monitor. within the era of real-time records management, cellular administration of storage can assist in the reduction of storage downtime, facts overload, over-provisioning and software disruption.
IBM Spectrum accelerate aspects an array of cloud-able aspects and applied sciences, together with picture, synchronous and asynchronous replication, multi-tenancy, automation via RESTful API and OpenStack, VMware vCloud Suite integration and self-provisioning. it's effortless to acquire, license and install; offers a supple licensing mannequin designed to mesh brief- and longer-time epoch budget realities and is delivered by way of down load from the IBM Passport abilities internet site.
pondering outside of the box: international consumers Adopting IBM Storage software
clients fancy NARI device and Integration business, China State Grid's IT division wish to seriously change their enterprise operations by using software defined storage and are testing IBM Spectrum speed up as they movement toward a hybrid cloud environment.
China State Grid is the greatest state owned utility traffic on earth. The enterprise has prioritized utility defined infrastructure as a strategic imperative to contend with increasing complexity and costs of tips know-how functions. NARI gadget and Integration enterprise, under NARI neighborhood, a wholly owned subsidiary below the governance of China State Grid's IT division, invited IBM to interpolate utility described storage applied sciences and IBM Spectrum accelerate changed into chosen for comparison. Mr. Xu Ji, Chief Architect of NARI SI enterprise, preeminent "In their trying out, they create IBM Spectrum accelerate provides the entire functionality of the container proven XIV hardware appliance, giving us the agility and ease of deployment to exhaust throughout their present hardware infrastructure without sacrificing any facets. IBM Spectrum speed up is likely one of the most vital systems in State Grid's application described strategy future."
About IBM Spectrum Storage
IBM's Spectrum Storage portfolio can centrally manipulate more than 300 distinctive storage instruments and yottabytes of facts. This device interoperability is the broadest in the traffic – incorporating each IBM and non-IBM hardware and tape methods. IBM Spectrum Storage can abet in the reduction of storage fees up to ninety % in determined environments by using instantly relocating information onto essentially the most splendid value storage gadget – either from IBM or non-IBM flash, disk and tape programs.
moreover Spectrum accelerate, IBM Spectrum Storage portfolio includes key storage application such as Spectrum Virtualize, Spectrum Scale, Spectrum control, Spectrum tender protection to and Spectrum Archive.
For greater tips about utility defined storage offerings from IBM, consult with www.ibm.com/spectrumstorage.
comply with us on Twitter at @ibmstorage and on their Tumblr at http://ibmstorageexperience.tumblr.com/.
be fraction of the dialog #softwaredefined.
Media ContactChaiti SenIBM Media Relationscsen@us.ibm.com213-663-8154
1 IDC global Quarterly Storage utility Qview, December 2014. 4Q 2014 file is pending.
2. Gartner Innovation perception: setting apart Hype From Hope for software-described Storage authored by means of Dave Russell and Arun Chandrasekaran published on October 2014.
three Statements related to IBM's future path and intent are realm to change or withdrawal without notice, and symbolize desires and ambitions handiest.
emblem - http://photographs.prnewswire.com/prnh/20090416/IBMLOGO
To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/ibm-redefines-storage-economics-with-new-application-300036703.html
Copyright (C) 2015 PR Newswire. totality rights reserved
IBM believes within the hybrid cloud, and now it’s backing that with application and a promise.
First, the promise: IBM is committing to spend $1 billion to enlarge its software storage portfolio over the subsequent five years. As a down payment on that, it’s releasing a unusual utility outfit known as IBM Spectrum Storage.
Spectrum Storage is partly the utility layer for IBM’s high-end storage appliance, referred to as XIV. XIV is intended for groups with huge statistics storage needs and excessive-end requirements, but it’s designed in such a manner as to facilitate businesses’ moves in opposition t the cloud by serving as the “in-condominium” cloud whereas helping the requirements used by way of public storage cloud infrastructures. IBM notes:
IBM’s Spectrum Storage portfolio can centrally manipulate more than 300 diverse storage contraptions and yottabytes of information. This device interoperability is the broadest in the industry — incorporating both IBM and non-IBM hardware and tape programs. IBM Spectrum Storage can aid slit back storage prices up to ninety p.c in inescapable environments by instantly relocating records onto probably the most low in cost storage machine — either from IBM or non-IBM flash, disk and tape techniques.
With such an omnivorous manner to requirements and interoperability, IBM is clearly hoping Spectrum Storage can live more than only a front terminate for XIV, however will win a significant locality in massive companies’ datacenters as these Big methods delivery to tide to a hybrid cloud architecture, with a blend of typical on-premises storage systems, scalable in-condo clouds, and public clouds.
The movement in opposition t application-driven storage is deliberate, and parallels a much wider traffic vogue. according to a Gartner study referred to by using IBM, 70 percent of current storage array solutions will live purchasable as “application handiest” models by way of 2019, and via here yr, 70 to eighty percent of unstructured data will live in in your expense attain storage hardware managed by application-defined storage systems.
part of IBM’s package, IBM Spectrum speed up, is already getting used on a hundred,000 servers around the world, IBM says, and is being tested via Netflix, China State Grid, and metropolis of Hope country wide medical center, among different shoppers. according to IBM:
IBM Spectrum accelerate allows for shoppers to layer their infrastructure with shrewd elements derived from XIV. These elements involve unique architecture with zero-tuning that can assist valued clientele dynamically add storage potential in minutes versus the months it takes these days so as to add, install and dash storage hardware systems
In Netflix’s case, it replaced 16 present storage systems with three XIV systems, decreasing datacenter ground house utilization by 80 percent. I’ve embedded a video from IBM at the bottom of this set up that describes Netflix’s exhaust of XIV.
IBM is additionally open-sourcing the Spectrum accelerate utility, which — presumably — it hopes will spur greater hobby in XIV.
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(IDG) -- This is a tale about programmers and systems administrators who, by and large, don't want to speak on the record because they're apprehensive of being fired. They're smugglers who sneak unapproved operating systems into corporate offices without telling upper management. These activities aren't in the selfsame league as gunrunning or drug trafficking, but that doesn't spell you can't accumulate fired for doing them.
In many cases, the unapproved operating systems are the so-called open-source systems, which near with totality of the source code, so that a programmer can rewrite them as much as he wants. These versions, with names fancy Debian GNU/Linux, FreeBSD or Red Hat Linux, are produced by loosely knit groups of programmers who contribute their code into a vast commonwealth of software that can live freely shared. The members contribute what they can and devour the license to help the code.
At first glance, many information technology managers from traditional backgrounds flinch in horror at the thought of open-source operating systems. The freewheeling exchange of source code seems fancy a recipe for total chaos, and every IT manager knows that preventing chaos is the most primary fraction of the job. No one ever got fired for buying from Microsoft Corp., IBM or Sun Microsystems Inc.
Some programmers, however, worship the open-source systems. They near with totality the source code, which often means less cursing at a black box. Talented programmers with a splendid erudition of open-source systems can often finish jobs much faster.
Consider an engineer I'll summon "Bob." He's an open-source smuggler. His boss wanted first and foremost to support the networks running and the file servers serving. His boss believed that the best way to accomplish this was to pay one company to provide order. You accumulate what you pay for, he assumed, and one way to accumulate a lot is to pay a lot.
Bob's problem was simple. One of the company's newly acquired offshoot offices ran Windows NT and some custom software that was hard-wired to work with the former network. The unusual bosses insisted that Bob integrate the existing network with the new, incompatible network that had its offices in another state. Bob considered doing the job the official way. He calculated the hours, weighed the amount of red tape required to reinstall, figured out the travel time and then considered whether it was even practicable to rewrite the software. The potential bill skyrocketed.
Then he had an idea. He grabbed an obsolete 50-MHz 486-based PC and installed FreeBSD on it. This Linux cousin is well-known and loved in the networking community because it's a descendant of the Berkeley Software Distribution (BSD) versions of Unix that formed the original backbone of the Internet. In fact, most Internet software was originally conceived of on machines running BSD, so it's often the most compatible operating system for Internet applications. A few days later, the old, previously discarded computer was up and running, translating the data from one system to the other and gluing the two networks together.
"It took about four days because I'm so late at FreeBSD," Bob says, "but I could now redo the entire thing if I had to in just one afternoon."Politically correct PCs
Bob's tale is a blissful one. The low cost pleased his boss, and no one looked too closely at the guts of his "NT-compatible" router. The boss apparently preferred to concentrate on the expense tag.
Unfortunately, many programmers are in situations fancy Bob's. IT departments physiognomy endless problems just keeping their data synchronized and their computers working smoothly. Everyone knows that strong rules fancy "Always buy Microsoft" often construct life a bit simpler. But everyone furthermore knows that it sometimes just makes splendid sense to crash the rules.
The world of operating systems may seem fancy a placid environment where totality the blood was shed years ago when Microsoft achieved its final dominance. That's what many managers want their IT staffs to believe: Microsoft on totality machines means harmony everywhere.
But sometimes the prerogative tool isn't made by Microsoft, IBM or whoever the preeminent player happens to be. Increasingly, engineers are turning to open-source operating systems because having the source code lets them customize their work and solve the difficult problems.
Another anonymous programmer reports that he got involved in a duel with a vie offshoot in his company that protested when it create out he was using the security-conscious OpenBSD operating system to process credit-card transactions.
"(The leader of that branch) wasn't blissful and was determined to beat us, so he decided to start a separate e-commerce organization that they would devour no input into which would (have been) based entirely around Windows NT 4.0," he says. "That was in September. (Their system) still doesn't work. But the BSD kit on the other side of the company has been handling credit-card transactions securely since October."The prerogative tool for the job
There are plenty of other success stories out there on the Net. Many of the contributors to open-source systems disclose the tools are more supple and easier to appropriate to complicated tasks. This feature is especially valuable when the engineers are called upon to yield unusual applications or tender unusual services over the Internet. When the machines start working successfully, the smart manager doesn't inquire too often or too closely about the operating system vendor.
The success stories can live create in some extraordinary places. The TiVo television recorder is a kindhearted of digital VCR that stores MPEG-encoded versions of television programs on its difficult disk. The system comes with a number of unusual features, such as an "instant replay" that quickly jumps back seven seconds.
Underneath the user interface is the Linux operating system. TiVo Inc. in Sunnyvale, Calif., customized the operating system to speed up the real-time tasks it needed and started shipping Linux deeply embedded in the box. The TiVo user is no one the wiser, because totality the Linux calls are hidden from view.
The programmers involved usually cite two reasons for their success. First, the source code makes it easier for them to tweak, revise or extend the operating system. While companies fancy Microsoft or Sun construct it practicable to extend their operating systems, they often support some of the information stealthy to maintain their leverage.
And because the Internet was originally built on machines running BSD, the basic protocols were specified, prototyped and finalized in that environment. Therefore, it's just easier to create unusual Internet applications using the original article.
That compatibility is one reason why Apple Computer Inc. is rewriting its Mac OS operating system to incorporate much of the code from the open-source community's FreeBSD and NetBSD. The core, which the company calls Darwin, is furthermore being shared with the world in the hope of making it easier for Macintosh customers to work with the systems. Still, Apple hasn't opened up totality the forthcoming Mac OS X code. The slick user interface and many of the time-saving features that attract unusual users are being kept proprietary.
IT professionals working with Mac OS X report mixed experiences. Those who exhaust only the open-source parts of Darwin disclose they devour the unusual opportunities. But those who exigency access to the fraction that's still proprietary grouse about the restrictions.
One anonymous programmer says his boss heard his pleas for an open-source operating system and suggested Mac OS X. Because it's both open-source and a product from a Big company, it has the aura of respectability and openness, he says. But in his case, the openness didn't help, and he ended up switching to FreeBSD.
Many open-source operating systems construct it simple to strip away totality but their most necessary parts. This flexibility makes it practicable to dash on less-expensive hardware and furthermore accumulate the maximum performance out of high-end hardware. The extra layers of gloss that construct systems fancy Windows NT easier to understand can furthermore construct them less efficient, because they preclude a systems administrator from stripping away unnecessary functions.
"I reckon a PIII-450 properly configured with about 512MB of RAM will give me around a 400% to 500% performance enlarge over the incredibly expensive Sun hardware at around a tenth of the cost," says an engineer who supports open-source systems.Coping with configuration
While many programmers are quite positive about open-source solutions, some are more circumspect. Rob Newberry, a programmer at Group Logic Inc. in Arlington, Va., has been an avid fan of Linux. Some of his networking code has, in fact, been made fraction of the standard Linux kernel.
Still, he says that his company is thinking seriously about converting its mail server back from Linux to Windows NT. Group Logic has documented several cases where the sendmail program running on the Linux server lost an e-mail message. While it's had few other problems with Linux, he says the software is still difficult for much of the staff to manage; Windows NT is just easier for most of them to exhaust and reconfigure. According to Newberry, saving the cost of a Windows NT license just isn't worth it.
"Even though there are some of us here who respect Linux and work on Linux, they are rapidly trying to facet it out. It just kindhearted of becomes a maintenance headache," he says. "We devour lots of engineers here. There (are) only a few of us who know the Linux tricks." The folks who know Linux devour better things to enact than maintain the mail system, he notes.
This outcome is leading some companies to roll the operating system into their product and sell the two as a pair. Network Flight Recorder Inc. in Rockville, Md., creates software that turns a PC into a spy that watches a network for suspicious activity. Abnormal data-flow patterns that might sneak by firewalls will set off warning bells when this device spots them.
Naturally, the creators of the product want this system to live as secure as possible, so they turned to OpenBSD, a cousin of FreeBSD designed to purge security holes. They stripped out extra parts of the system and built a special version of the kernel that handles only their workload. They bundled totality of this on a single, bootable CD-ROM that takes over the PC.
Marcus Ranum, Network Flight Recorder's CEO, explains that the CD-ROM furthermore simplifies the technical support. The user can't change anything on the machine, so nothing can inadvertently live screwed up.
"The CD-ROM has a bootstrap loader and a kernel and their own set of applications inside. There are no user services inside," he says. "There's nothing on this sucker except the one application. It takes about 12 minutes to install their product, and that's the time to boot up and autodetect."
Ranum says hiding the operating system from everyone, including the professionals who know how to maintain one, is a smart solution. Every system takes time to learn, and his company wants to construct its Network Flight Recorder product simple to use.
Ranum says, "The Unix heads abhor NT, and the NT heads abhor Unix, so their respond is that it's fancy a toaster: There are no user-serviceable parts inside."RELATED STORIES:
How proprietary software can abet the open source movementMay 2, 2000Users hire open-sourcers to build internal appsApril 24, 2000Neoware debuts thin version of LinuxApril 13, 2000Open-source, networkable shooter has Linux gamers buzzingApril 12, 2000Linux-friendly ASP surfacesApril 10, 2000RELATED IDG.net STORIES:
Open-source projects accumulate done cheaplyComputerworldUsers hire open-source community to build internal appsComputerworldRed Hat to create largest open-source companyComputerworldThree Unixlike systems may live better than LinuxComputerworldWindows 2000 isn't the respond to the future of computingComputerworldRELATED SITES:
FreeBSD Inc.OpenBSD: Multiplatform Ultra-secure OSLinux Online
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New all-in-one backup, archive, and disaster-recovery appliances approved as “Built on IBM Express” offerings
Colorado Springs, CO -- April 3, 2006 -- STORServer®, manufacturer of the all-in-one suite of traffic Continuity Appliances, announces a unusual line of STORServer EZ Backup Appliances®. These cost-effective, easy-to-use backup solutions, which are preloaded with IBM storage software and hardware, are designed to abet small to medium size businesses (SMBs) manage their data.
“SMBs are a fast-growing and often-underserved market, especially in terms of backup and disaster recovery,” said Ellen Rome, STORServer vice president of sales and marketing. “Our unusual EZ Backup Appliance bundles IBM’s leading hardware and software technology to provide an affordable, reliable solution that is effortless to implement and maintain while providing a sophisticated feature set commandeer to SMBs’ growing needs.”
The unusual line of EZ Backup Appliances, available in both entry-level and high-end scalable models, are effectual storage solutions for SMBs that typically devour smaller budgets and fewer employees armed with the necessary skills to deal with complicated IT management issues. Pre-configured with hardware and software necessary for backup, archiving, and disaster recovery, the appliance contains IBM’s latest in data-protection technologies, including disk and tape storage such as the unusual IBM TotalStorage TS3310 Tape Library.
The STORServer EZ Backup Appliance leverages IBM Tivoli Storage Manager, enterprise-level backup and recovery software, and is offered in three pre-configured bundles: Disk-to-Disk, which offers backup and archives with optional tape or disk for disaster recovery; Disk-to-Tape, with backup, archives, an online tape pool and disaster recovery to tape; and Disk-to-Disk-to-Tape, which offers backup, archives, an online pool of IBM TotalStorage DS4100 disk arrays, and disaster recovery to tape.
Fully automated, policy-based configurations are available for customers storing totality amounts of data, from less than one terabyte to up to 10 terabytes for a single appliance. Multiple appliances can live installed and managed from one interface for customers that devour more data or that exigency to divide their recovery storage management. Each appliance comes with a 3-year warranty that provides a single point of contact for technical support.
Backup and disaster recovery is a top concern for SMBs and large organizations alike, according to Enterprise Strategy Group (ESG) analyst Heidi Biggar. She credits STORServer with creating a solution for SMBs that is both affordable and simple to manage.
"The problem is SMBs generally want the necessary resources -- people, dollars, and technology -- to beset the backup and recovery problem at its root,” Biggar said. “Historically, SMBs devour either tried to 'fix' the problem with enterprise backup solutions (which tend to live too unwieldy and expensive for their needs) or devour ignored the problem altogether. What SMBs want -- and exigency -- are easy-to-use, scalable, and integrated solutions. The STORServer Appliance fits this bill nicely and takes the guesswork out of data protection."
Also announced today, STORServer’s EZ “Entry” Backup Appliance provides a low-cost, reliable, disk-to-disk backup solution for up to two terabytes of data. The EZ “Entry” Backup Appliance integrates IBM’s unusual Tivoli Storage Manager Express, automated backup and recovery software designed specifically for small and mid-sized businesses. totality backups are stored on the server disk and an optional disk array is available for expanded storage capacity. Customers can furthermore add tape backup for disaster recovery. Two scalable entry appliances are available -- one for customers with less than one terabyte of data and the other designed to accommodate up to two terabytes of storage.
The entire line of EZ Backup Appliances back up totality favorite servers and workstations and can furthermore live purchased with IBM Tivoli Continuous Data Protection for Files – software that is designed to continuously and instantaneously capture and redeem changes to files in existent time and send copies of data to a backup location to add a second layer of defense against data loss.
With the integration of IBM Express Portfolio software and hardware, the unusual STORServer EZ Backup Appliances devour received “Built on IBM Express” validation. Built on IBM Express is an initiative designed to incorporate IBM Express products with IBM traffic ally products in order to provide integrated solutions that abet enable SMBs to manage their IT environments with the selfsame capabilities as larger companies.
The STORServer EZ Backup Appliances are available through IBM resellers only. Pricing for the entry-level appliance starts at $5,000 and the higher-end model begins at $15,000. For more information, visit http://www.storserver.com.
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