Comments
bruce.armstrong wrote: Somebody just said it better than I did, and with more chops to say it: Open Letter to Mark Zuckerberg, Sheryl Sandberg & Facebook Mobile
Cloud Expo on Google News

SYS-CON.TV
Cloud Expo & Virtualization 2009 East
PLATINUM SPONSORS:
IBM
Smarter Business Solutions Through Dynamic Infrastructure
IBM
Smarter Insights: How the CIO Becomes a Hero Again
Microsoft
Windows Azure
GOLD SPONSORS:
Appsense
Why VDI?
CA
Maximizing the Business Value of Virtualization in Enterprise and Cloud Computing Environments
ExactTarget
Messaging in the Cloud - Email, SMS and Voice
Freedom OSS
Stairway to the Cloud
Sun
Sun's Incubation Platform: Helping Startups Serve the Enterprise
POWER PANELS:
Cloud Computing & Enterprise IT: Cost & Operational Benefits
How and Why is a Flexible IT Infrastructure the Key To the Future?
Click For 2008 West
Event Webcasts
IBM Seems to Be Feeling Neon’s Heat
Neon’s zPrime software lets mainframers use SPs to offload & run classic mainframe DB2, CICS, IMS, TSO/ISPF & batch workloads

IBM wants its mainframe users to install a patch that will let IBM peer into the Specialty Processors (SPs) they have on their machines so it can see what they're using the widgets for.

And the only reason that Big Blue would want to do that is if it thinks it may lose the antitrust suit filed against it by Neon Enterprise Software.

See, Neon's zPrime software lets mainframers use SPs - which are otherwise called zIIPs and zAAPs and are actually just standard mainframe central processors under another name - to offload and run classic mainframe DB2, CICS, IMS, TSO/ISPF and batch workloads free of IBM's notoriously exorbitant monthly fees.

IBM claims it's illegal to run those workloads on SPs and that users are contractually limited to running XML and Java programs and accelerating DB2 workloads on the things.

IBM created the widgets so it wouldn't lose valuable mainframe business to modern distributed systems, which is why it doesn't charge customers to use them.

Neon claims no such contracts exist anywhere and is currently waiting to hear back from a Texas federal judge if he's going to grant it a partial summary judgment saying IBM hasn't a leg to stand on in claiming that the workloads that can be run on SPs are contractually restricted.

His decision in Neon's favor would legitimatize the use of the forbidden zPrime and could cost IBM billions of dollars in licensing fees since Neon claims to be able to offload more than half of a mainframe's workloads on to SPs.

IBM has used its contract claims - and a few other terror tactics - to scare customers off of zPrime. It's also made SPs hard to get and insisted that users take a blood oath not to use the things for zPrime, basically changing the terms of existing contracts after the fact and raising a little issue of Clayton Antitrust Act violation. The law says you're not allowed to condition the sale of a product on the buyer not using rival products.

Blue is now trying to coax customers into installing the all-seeing patch or APAR in mainframe terminology. It's even offering owners of its shiny new z196 mainframe, just out last summer, a little discount to download the thing, a discount it may make back with the 10% increase it just slapped on a whole host of old Flat Workload-licensed software products, a list that fills about 38 pages single-spaced.

Since IBM has been trying to outlaw zPrime since it came out in the middle of 2009, it seems odd it didn't make the APAR a default on the new z196, suggesting it may have recently reappraised its legal odds. Neon did get a fast-track schedule from the Texas court and its multiple anticompetitive charges go to trial in about six months.

Neon, which believed to have a couple of dozen zPrime customers braving IBM's wrath, suspects the spyware will eventually be mandatory and then IBM can hook it into its monthly reporting system and start charging for using SPs.

About Maureen O'Gara
Maureen O'Gara the most read technology reporter for the past 20 years, is the Cloud Computing and Virtualization News Desk editor of SYS-CON Media. She is the publisher of famous "Billygrams" and the editor-in-chief of "Client/Server News" for more than a decade. One of the most respected technology reporters in the business, Maureen can be reached by email at maureen(at)sys-con.com or paperboy(at)g2news.com, and by phone at 516 759-7025. Twitter: @MaureenOGara

In order to post a comment you need to be registered and logged in.

Register | Sign-in

Reader Feedback: Page 1 of 1

Latest Cloud Developer Stories
With Cloud Expo 2012 New York (10th Cloud Expo) now just three weeks away, what better time to start introducing you in greater detail to the distinguished individuals in our incredible Speaker Faculty for the technical and strategy sessions at the conference...
If your organization already uses virtualized infrastructure, you are well on your way to providing IT as a Service. But as businesses demand faster results in today’s competitive market, organizations look to gain more benefits from cloud computing than just virtualized infrastr...
Facebook sold off again Tuesday scrapping the bottom at $30.98 after Reuters reported that Scott Devitt, a research analyst at the IPO’s lead underwriter Morgan Stanley, unexpectedly cut his revenue estimates on the company during the roadshow leading up to it going public last F...
In his session at the 10th International Cloud Expo, Marvin Wheeler, Open Data Center Alliance Chairman, will discuss the success the organization has had in charting the requirements for broad-scale enterprise adoption of the cloud and how 2012 is forecast to be the tipping poin...
With Cloud Expo 2012 New York (10th Cloud Expo) now just under three weeks away, what better time to introduce you in greater detail to the distinguished individuals in our incredible Speaker Faculty for the technical and strategy sessions at the conference...
Subscribe to the World's Most Powerful Newsletters
Subscribe to Our Rss Feeds & Get Your SYS-CON News Live!
Click to Add our RSS Feeds to the Service of Your Choice:
Google Reader or Homepage Add to My Yahoo! Subscribe with Bloglines Subscribe in NewsGator Online
myFeedster Add to My AOL Subscribe in Rojo Add 'Hugg' to Newsburst from CNET News.com Kinja Digest View Additional SYS-CON Feeds
Publish Your Article! Please send it to editorial(at)sys-con.com!

Advertise on this site! Contact advertising(at)sys-con.com! 201 802-3021

SYS-CON Featured Whitepapers
ADS BY GOOGLE

Breaking Cloud Computing News

hhgregg, Inc. (NYSE: HGG):