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« By the way... | Main | Will Search Replace Query? » August 19, 2007DataMirror Reflects IBM's Integration Ambition
"Mirror, mirror on the wall, who is the fairest data integration vendor of them all?" A narcissistic IBM might well be asking itself that question following its recent $162m acquisition of DataMirror. But wait a sec. Didn't IBM buy Ascential to cover all the data integration bases? Apparently not it seems. One area where Ascential lacked was in real-time data replication and change data capture, areas that DataMirror excels in. DataMirror's core Transformation Server software does a lot more than just move high volumes of data directly between relational databases, message queues, and other data stores. It also detects changes in data sources (additions, updates or deletions) and manages the replication, thereby enabling the changed information to be delivered at the actual moment when the change has been made. Being able to track data changes as they occur and respond accordingly is becoming important for dynamic data warehouses, particularly those operating in high volume, quick-sale retail environments. DataMirror also hands IBM a robust offering complete with heterogeneous data support in real-time. Of course that plays nicely to IBM's "On Demand" computing vision -- that of enabling the operational real-time, event-aware enterprise. Data replication, by its very nature, works well in real-time and the technology has its roots in high-availability database applications for reporting, backup, migrations and consolidation as well as disaster recovery, all of which require mirrored copies of every database transaction to be maintained in real-time, so that the mirror can ensure uninterrupted operation in the event of a server outage. Given that diversity of its user base, it's understandable why IBM plans to continue to offer DataMirror's data integration, auditing, high availability, and data replication software as stand-alone products. But over time they will also become absorbed into its flagship Information Server, which is fast becoming a homestead for IBM's broad portfolio of homegrown and acquired data integration software. IBM has yet to detail its specific plans about integration. But there are several technical considerations to take into account: One of the main strengths of DataMirror is its database support. Hence, IBM should make sure that DataMirror's neutrality is maintained, even though it has a vested interested in promoting its own DB2 database system. DataMirror already has close partnerships with Teradata, Netezza, and Oracle. Interestingly DataMirror was quick to pledge support for Oracle's new 11g database less than a week after the acquisition was announced. IBM also intends to continue DataMirror's partnerships with other vendors, notably BEA Systems, Business Objects, Microsoft, and Oracle. Keeping such relationships alive are critical to ensuring that IBM can continue to offer a heterogeneous data integration. Given the sheer breadth of IBM's product portfolio and technology acquisition is bound to result in some degree of overlap. That's also the case with DataMirror, but not to an extent that creates a significant amount of redundancy. A quick look at IBM integration portfolio shows some overlap with IBM's Q Replication and Data Propagator products as well as the rudimentary replication capabilities built into DB2. But DataMirror's technology is functionally superior and more broadly applicable to the diverse range of real-time data processing environments envisaged by IBM's Information On Demand strategy. DataMirror seems a good fit with IBM's broader vision for real-time integration. For example, there are obvious links between DataMirror's real-time software and IBM's own real- and batch-oriented ETL, business intelligence, enterprise service bus, and MQSeries message queue integration technologies. Besides the technology intellectual property that IBM gains, the company also brings on board DataMirror's considerable technical and marketing expertise. So far IBM has not imposed a hiring freeze on its DataMirror division that suggests the company is still thinking about growing the business. Historically IBM has not had a great track record in shepherding acquired skills. But its recent acquisition of customer data integration firm DWL seems to have gone smoothly from an organizational perspective. So by acquiring DataMirror IBM gets its paws on a very mature and advanced change data capture and replication tool that is still modestly priced against some of its competitors. The move shouldn't really come as a surprise as IBM had partnered closely with DataMirror to provide its own data integration customers with those core competencies. But over time it has become clear that IBM needed to own this kind of technology as more and more of its data integration customers demanded it. A big chunk of DataMirror's 2,200 customer base part of that has come from IBM referrals. But IBM didn't make the purchase to buy-in customers. It was more interested in DataMirror's technology to shore up a functional weakness in its own data integration platform. Competitively DataMirror now positions IBM more strongly against Acsential's arch-nemesis Informatica, particularly in the real-time ETL space for enabling operational BI and even event-aware analytics. It's more than likely that DataMirror's software will eventually find a permanent resting place in IBM's new Information Server, a platform it is investing heavily in right now. And because IBM has laid out grand plans for Information Server that extends beyond data replication, it probably isn't done buying smaller software firms and technologies to round out the platform. IBM's customer base is quite diverse and it's likely that it will need multiple products even of the same type, including replication. From a birds-eye view, the acquisition of DataMirror is also part of a general push by IBM to expand its software holdings and revenue. It could well be a precursor to many more similar types of technology-focused acquisitions that IBM does in the second half of this year. IBM has already spent around $1bn on acquisitions this year alone. It still has roughly $4bn to spend before it meets its stated objective of keeping up with the 13 companies it acquired in 2006. DataMirror is just the type of acquisition that reflects a shift away from lower-margin computer hardware to more profitable software sales. In a nutshell software is making most of IBM's money right now. Posted by madansheina in Business Intelligence | Digg This | Add to del.icio.us Trackback Pings TrackBack URL for this entry: |
