Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : The New Economy and its Winners -- Ignore unavailable to you. Want to Upgrade?

To: Lizzie Tudor who wrote (19938)	3/23/2004 4:28:46 PM
From: stockman_scott	Respond to of 57684

The Next Big Thing _______________ onlamp.com The Next Big Thing by Daniel H. Steinberg Mar. 19, 2004 Last night Bill Coleman, CEO of Cassatt and the "B" in BEA, spoke at the SDForums Distinguished Speaker series on "The Next Big Thing." Coleman set the stage by saying that for him it has never been about the technology. Instead, it is about "the innovation to apply technology to increase productivity and bring value." Coleman said that the Cassatt employeed have heard him talk many times about "the three v's: vision, value, and values." At last night's address, however, he promised to focus the discussion on productivity and value. Productivity, in Coleman's view, is the basis for everything. It's the search for the free lunch. Perhaps you won't get more for less, but the goal is to get more return on the same investment. The two sources for this free lunch are innovation and specialization. Coleman provided examples from the agricultural, industrial, and information revolutions. Each revolution proceeds in cycles that include invention and then exploitation of that invention. Value is the second fundamental force. Coleman explained that innovation won't be adopted unless "someone gets enough value to justify their switching cost." If you want the P.O. then what you offer "better be urgent and not just important." One contribution of the industrial revolution was the creation of a chain of commerce where you source parts, manufacture, distribute, and then get paid. He argues that until recently "IT has contributed nothing to the GDP because it hasn't changed this chain of commerce." Dell and WalMart are two examples of how the net allows experiments with the chain that results in changing the economics of running a business. Dell started at the endpoints with the observation that "I can touch my customers for free" and take capitol out of the equation. WalMart changed the supply chain. They also turned over the merchandising of every store to the local manager. Coleman pointed to Amazon, ebay, and Google as examples where "the ends are in charge. These companies are leveraging unlimited free reach." Where the chain of commerce after the industrial revolution is push (we make so much stuff and push it onto the supply chain), the new model is pull. For Coleman, "the killer app of the web is the fact that everyone can self-serve." He predicts (with the usual qualifications) that between now and 2020 we will be in the build-out phase of the web. Later this decade there will be an inflection point as service oriented architecture is adopted. Web Services is a solution he sees for calling a service from one module to another. On the hardware side, clustering and grid computing will become more important when SOA hits. At that point he sees a need for systems that can self-configure, self-optimize, self-heal, and so on. The effect, Coleman said, is an adaptive real-time system. As with previous revolutions, he predicted that this will economically destroy what came before it. "The first to go is the technology industry" Few companies who were leaders in the past will survive. Not only will the economic order change but the political order will change as well. Coleman's final prediction was that around 2020 the material revolution will follow the information revolution. Already we are inventing nanotechnology but not exploiting it. Biotechnology is just being exploited. Coleman said the material revolution will feature the convergence of nano and bio. During Q and A Coleman said that "outsourcing of IT is a bad idea, but outsourcing at the low end is not." If you aren't in the server business, outsourcing your servers might make good sense. You can not, however, outsource your key productivity. He also addressed open source, saying "open source never inverts or disrupts. It provides continuous improvement to a stable base." ____________ Daniel H. Steinberg is a developer, a longtime technical writer, and the editor of both ONJava.com and java.net.

To: Lizzie Tudor who wrote (19938)	3/23/2004 4:34:03 PM
From: stockman_scott	Respond to of 57684

China accelerating Linux testing and research oreillynet.com by Kevin Bedell Mar. 19, 2004 The news yesterday that China's largest software testing organization was joining the OSDL was at the same time a bit exciting and scary to me as an American-based developer. The government-funded Beijing Software Testing Center was founded in 2002 with a primary goal of accelerating the development of China's software export industry. What this means for Linux could be great -- I mean having the government of the most populous nation on earth pouring resources into the development of Linux is amazing. This should have a real impact of Linux's development -- especially in the Chinese market and other markets in Asia. On the other hand, it also means that we as Americans are at risk of facing yet another formidable, low-cost competitor in the software and services industry. Unlike Microsoft Windows, which brings revenues in the end back to the US in dollars, Linux allows countries like China to be much more in control of their own destiny -- and dollars. It allows them to grow software industries faster and to keep dollars at home that would otherwise be spent on software made here in America. If here in America we tie ourselves to Windows (and the innovation rate of a single corporation such as Microsoft) we may find the rest of the world taking up Linux and using it to accelerate innovation collaboratively at a pace even Microsoft can't keep up with. ______________________________ Kevin Bedell is a software professional with over 15 years of experience doing development, architecture and team lead work, is Editor in Chief of LinuxWorld Magazine, and is working on a book for O'Reilly on Apache Axis. oreillynet.com Copyright © 2004 O'Reilly Media, Inc.

To: Lizzie Tudor who wrote (19938)	3/23/2004 7:01:40 PM
From: Lizzie Tudor	Respond to of 57684

another blowout quarter for RHAT, up ah but unless this holds tomorrow we are still down from where rhat traded in December (over 22) Red Hat revenue, profit rise Red Hat, the top seller of the Linux operating system, reported a net income of $5 million and revenue that grew 43 percent to $37 million for its most recent quarter. news.com.com RHAT recognizes revenue like msft with a deferred account so there isn't any way they can disappoint for a few more quarters. The upward trajectory will continue. also a bundling deal (actually I thought RHAT already had this deal with IBM) IBM, Red Hat sign bundling deal IBM and Red Hat have expanded their partnership to make it possible for customers to order Red Hat Enterprise Linux and accompanying support options directly with purchases of Big Blue servers that use its Power processor. Currently, the open-source operating system must be bought separately; IBM didn't disclose when the new ordering option would go into effect. news.com.com