OS/400 Brought In $650 Million in 1998

["Al Barsa, Jr." <barsa2@xxxxxxx>]

I got the following article from Monday Morning Update.  I thought that it 
was something interesting between all the ads.

Al



Salomon Smith Barney Says OS/400 Brought In $650 Million in 1998
=======================================

Analysts at brokerage house Salomon Smith Barney (SSB)
figure that despite lagging AS/400 sales towards the end of
last year, OS/400 operating system sales amounted to some
$650 million worldwide in 1998. By comparison, the company
says that AIX software sales came to about $140 million
last year, OS/2 Warp sales to about $110 million and MVS-OS/
390 monthly license fees to about $2.2 billion. All told,
IBM's operating systems brought in $3.1 billion, about a
quarter of Big Blue's $13.5 billion in total software sales
for the year (Salomon got the nod on its software sales
estimates from Mike Zisman, who heads up IBM's software
strategy under Software Group czar John Thompson, formerly
in charge of the AS/400 division like many upper-level IBM
managers).
SSB analysts estimate that IBM's middleware products
brought in the lion's share of the company's software sales,
with $1.5 billion in DB2, IMS, and other database products,
$1.3 billion in Lotus Domino and related software, $900
million in CICS and other transaction monitoring software,
$1 billion in Tivoli management software, and $1.4 billion
in application development tools. (Thompson is somewhat
vindicated in the view he held during his tenure as AS/400
czar during the mid-1990s that IBM customers wanted
software tools, not IBM-brand applications. I say somewhat
because the enterprise resource planning market is ten
times the size of IBM's software tools business, but IBM's
neutrality in the application software biz means that its
tools have become more popular than they otherwise might
have been.) IBM, says SSB, sold another $2.1 billion in
various networking, storage management, and printer
software; another $1.2 billion in banking, engineering, and
point-of-sale solutions software; and the remaining $1.2
billion in preload of Windows and other operating systems
on its PCs and servers.



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Al Barsa, Jr. - Account for Midrange-L
Barsa Consulting, LLC.  
400
Phone:          914-251-1234
Fax:            914-251-9406
http://www.barsaconsulting.com
http://www.taatool.com

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