IBM and Microsoft are at war in the SME server market

IBM and Microsoft are at war in the SME server market-Linux Enterprise Application-Linux server application information. The following is a detailed description. Author: Jia Yan Source: IT expert network

Insiders pointed out that this is not only the competition between IBM Foundations devices and Microsoft's Small Business Server 2008, but also between Linux and Windows.

In the same week, IBM and Microsoft both launched Server products for small businesses. Although the ideas coincide, the methods of the two companies are quite different. IBM has released Linux-based server devices, while Microsoft has released Windows-based server software running on third-party servers.

Analysts said that IBM is doing what Microsoft should do more: Software + hardware + services. Hardware is an important component missing from Microsoft's software + service strategy, while Microsoft speculate that its partners will do hardware that it cannot do. Unexpectedly, Though relying on partners, IBM's strategy is completely different.

IBM's approach is to combine newer Lotus Foundations server software with hardware devices. Some analysts pointed out that from the perspective of competition, Microsoft should pay attention to IBM's Small and Medium-Sized Enterprise Server equipment and give the following reasons:

Symphony, an Office software alternative to Office, is bundled with Lotus Notes.

IBM has signed a virtualization agreement with VMware for enterprises that need to run Windows applications.

A single IBM device can configure up to 500 customers, while Microsoft's Small Business Server 2008 can have up to 75 users, while the Essential Business Server can have up to 300 users.

Business models are more like subscription-based services, which should be more attractive to channel partners and customers, especially when the economic trend is uncertain.

Technical support services provided by IBM, such as domain name management and ISV software updates, and server software dialing for these services every 12 hours have become a competitive advantage.

These are the ways to differentiate IBM Foundations devices, while Microsoft and its partners should indeed learn from IBM. Microsoft has long insisted on switching relevance from on-site PCs or servers to Web browsers and backup data centers. The hybrid approach adopted by IBM is to provide an on-site enhanced product and expand it through Web Services. To be fair, Microsoft has very limited service capabilities with Windows Home Server.

Caleb Barlow, Senior Product Manager at IBM Lotus Foundations, explains that domain hosting is one of the hybrid services provided by IBM with Foundations devices. The device will call the hosting service to verify its ownership of a specific domain name, such as acme.com. Verify all the CNAME (alias record) records, MX (mail exchange) records, open the firewall port, Dynamic DNS, and so on. After that, the process is very automated.

The initial price of Lotus Foundations Server software is USD 849 for five users. Users can purchase additional access licenses, which can be set remotely. IBM's single price for this device is $2499. According to industry analysts, the price for entry-level systems is at least $3348. IBM did not offer other access licenses, but its officials said the total price would not exceed $5000.

In contrast, the price of Microsoft's Small Business Server 2008 Standard Edition is USD 1089 for five users, and the value-added version is USD 1899.

What is the result of the competition between IBM's Server + software + service package and Microsoft's Small Business Server 2008 software? There is no ending story.