Microsoft Customers Say Windows 2000 Too Unstable
Bloomberg News
February 17, 1999, 11:21 a.m. PT
Redmond, Washington, Feb. 17 (Bloomberg) -- Some Microsoft
Corp. customers who've tested an early version of the Windows
2000 corporate software said they wouldn't upgrade to the
operating system in its current form because it crashes often.
Some companies that have tested the so-called Beta 2 version
said their computer systems crashed because of conflicts with
software applications, among other reasons. The upgrade of the
No. 1 software maker's Windows NT system is set to be released in
the second half of 1999.
Windows 2000 is Microsoft's most ambitious foray into the
corporate market. Microsoft is pushing Windows 2000 as a
competitor to systems that run large networks with a high degree
of reliability, such as those made by Sun Microsystems Inc. and
Novell Inc. Microsoft faces intense pressure to fix the software
problems and launch the program on time.
''This will certainly be the most important product roll-out
since Windows 3.1,'' said Duane Eatherly, a senior technology
analyst with Banc One Investment Advisors, which owns shares in
Microsoft.
Windows NT 4.0, the predecessor system, generated sales of
$2.1 billion, or 14 percent of overall revenue in fiscal 1998,
estimates analyst William Epifanio II of J.P. Morgan. Windows NT
and the newer 2000 will generate sales of $3.94 billion, or 19
percent of overall revenue, in fiscal 2000, he predicts.
Revenue Platform
A successful launch of Windows 2000 will enable Microsoft to
sell other products linked to the operating system since the
program is a linchpin for an array of electronic commerce and
communications software.
Beta 2 was released in August to more than 270,000 software
developers, distribution partners and selected customers. A third
and final beta program is set for release in April. Engineers and
testers in Redmond are working 24 hours a day, writing and
running Beta 3.
The system is Microsoft's most complex product to date. It's
expected to have 40 million lines of computer code or more,
nearly three times the 15 million in Windows 95. Programmers say
new software typically has five bugs per 1,000 lines of code.
''Until the finished product comes out, I would struggle with
basing our whole system on it,'' said Snapper Inc. Chief
Information Officer Howard Jones, whose company makes lawn mowers
and garden tillers.
''They have a little way to go,'' Jones said.
Improvements have been made since Beta 2 was released said
Ed Muth, group product manager for Windows NT.
''We've made some terrific progress since August,'' he said.
''This is a very, very rock solid release,'' he said, referring
to Beta 3.
The final Windows 2000 product will ship in the second half,
probably after Labor Day, Sept. 6., Microsoft said last month.
Further updates will follow.
Delays would intensify a timing problem. Some customers said
they won't order major software upgrades late in the year because
of the approach of the Year 2000 and possible related glitches.
Code Blue
System reliability is crucial to corporate customers. One
health-care provider who tested Windows 2000 is worried about
computer crashes.
''We call it the blue screen of death,'' said Ash Shehata,
chief information officer at Antelope Valley Hospital near
California's San Fernando Valley. The blue screen refers to the
deep blue background of Windows 2000 that appears when the system
is rebooted.
Beta 2 has also generated bogus error messages requiring a
system reboot, when there were no real errors, Shehata said.
''Three months ago I was ready to upgrade to Windows 2000,''
he said. ''Now, after what I've seen in the lab, I'm going to go
with it only in non-core areas.''
In manufacturing, one minute of down time can cost $6,000,
said Jones of Snapper, a unit of Metromedia International Group
Inc.
''Stability is the primary factor in our decision-making,''
said John Cornwell, a spokesman for Minnesota Mining &
Manufacturing Co., which has tested Beta 2.
3M, which makes more than 50,000 industrial and consumer
products, plans to upgrade to Windows 2000 sometime after the
initial product ships, Cornwell said.
Active Directory
Several companies said they're also withholding endorsement
because the test version lacks an ''Active Directory'' feature
for simplifying network management. The directory lists
terminals, printers and user priorities in the style of a phone
book white pages.
''To me Active Directory is the most important feature of
Windows 2000 and I haven't been able to test it,'' Jones said.
If Active Directory proves stable, Jones said he would
upgrade to Windows 2000 ''within 30 days.'' If not, he might
stick with Novell, where administration is ''a lot easier.''
Progress Software Corp., a maker of database-management
systems that also tested the second beta, echoed that sentiment.
''It's incumbent on Active Directory to be rock solid,''
said Tom Harris, managing director of database development for
Progress Software. ''That's the key to Windows 2000.''
The so-called Y2K bug is another concern.
''You'll find most companies are looking for a steady state
around Year 2000 compliance, and that's probably pushing Windows
2000 out a bit,'' said Jeff Lyttle, information-technology
spokesman for Bank One Corp., the fifth largest U.S. bank, which
hasn't tested Windows 2000.
Some software mistakes the Year 2000 for 1900 because it
only reads the last two digits of the year. Many companies are
focusing on diagnosing their software and fixing it to properly
read the year 2000.
Bank One wants to avoid more changes in its computer
systems, which are in ''excellent shape'' to deal with the so-
called Year 2000 bug, Lyttle said.
Prices for Windows 2000 will be similar to those for NT 4.0,
Microsoft has said, declining to give details.
A company with 10,000 desktops would pay around $788,500 for
the workstation and mid-sized server software, at list prices,
said analyst Dan Kusnetzky of International Data Corp. He noted
that Microsoft gives discounts to corporate customers, depending
on their size.
Microsoft fell 6 1/4 to 150 in midafternoon trading of 18.0
million, making it the second most active stock in U.S. trade. |
