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IBM Turns Up Internet Heat (03/09/98; 8:56 p.m. EST) By John Evan Frook, InternetWeek
IBM, which is repositioning all of its products and services around network-centric businesses, Monday unleashed an array of commerce server products designed to enable companies to quickly integrate their businesses on the Web.
The company, which in recent weeks unveiled commerce-hosting services and network management solutions for business-to-business data exchange over intranets, made a series of announcements aimed at positioning Big Blue as a vendor capable of addressing the needs of both the smallest and largest vendors. IBM said catalog/store retailer Brookstone, outdoor equipment vendor REI, and battery retailer 1-800-Batteries are working with IBM software and services. REI was previously a customer of competitor Netscape Communications.
IBM's announcements were expected, but should not be discounted. It has long planned to assemble its low-end Domino.Merchant, mid-tier Net.Commerce Start, and high-end Net.Commerce Pro products into a full array of products. It now appears to be bringing together key elements needed for every type of customer.
On the low-end of its offering, IBM said it would release Domino Merchant 2.0 server pack this month at $3,495. The product includes applications for implementing third-party payment, UPS shipping, and BackWeb push programming.
In the mid-range, Net.Commerce has some of the most significant advancements. IBM has added a series of business-process builders and design templates called Net.Commerce Start, which moves the commerce software closer to the arena of a packaged application. In earlier versions, competitors exploited the general perception that Net.Commerce required extensive custom development and services to keep many potential customers with electronic-commerce budgets less than $250,000 from going the IBM route. With the new offering, IBM said even the smallest customers can get up and running.
On the high-end of the equation, Net.Commerce Pro adds integration with existing payment technologies, like electronic data interchange, and the ability to expose and transmit data from existing business systems to the mix. It announced a series of Java objects and APIs under the heading of Commerce Extensibility Framework.
The IBM move toward integration tools follows Microsoft's release last month of Commerce Interchange Pipeline in Site Server 3.0, which also allows existing business applications to be linked to commerce websites. Other commerce vendors are also providing similar links. IBM said its Commerce Extensibility Framework goes beyond Commerce Interchange Pipeline because it supports interoperability via Java.
IBM is also pushing toward enhanced payment through its CommercePoint payment systems. Built on Secure Electronic Transactions (SET) protocol, CommercePoint includes consumer wallets, payment gateways to banks, and registry for merchants. IBM announced its Merchant electronic component will extend from AIX and NT to Sun Solaris and mainframe implementations. Nevertheless, SET will need mainstream acceptance by consumers in order to take hold.
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