Lack of Standards Slow Enterprise Blades Growth

10/10/2003 - Growth of blades in the enterprise may not experience the soaring rise that some expect. Although predicted to increase at a compound annual growth rate (CAGR) of 77% through 2007, there are issues that could inhibit this opportunity and tactics that could stimulate growth even further.

Most enterprise blade vendors currently offer single source solutions, which concerns IT directors who are reluctant to invest in proprietary architectures. Reasons include:

  • Potential inability to upgrade their systems in the future. It will be more difficult to justify the cost of full system replacements.
  • Lack of flexibility to take advantage of new technology regardless of their source.
  • Enterprise blade vendors could help meet these requirements by agreeing on and implementing a set of industry-wide standards. Standards must include physical compatibility and interoperability aspects and address both hardware and management software.

VDC Group Manager Eric Gulliksen believes that implementing standards will only further the adoption of enterprise blades. Proprietary systems have historically been a sore spot for end users. They feel locked into one vendor and are frustrated at the lack of sourcing options. Standards for enterprise blades would offer the following benefits to users and vendors:

  • A choice of vendors will allow enterprise end users to reduce TCO and enhance ROI
  • Ability for vendors to provide specialized blade products, optimized for specific applications or services
  • Improved upgrade paths, and the ability to adapt to inevitable shortcomings in early designs
  • Increased product innovation encouraged by competition among third-party vendors

When asked his opinion on the benefits of standards to vendors Gulliksen answers, "I believe that acceptance among users could be accelerated through an increased understanding of potential benefits. The first major vendor to adopt a standards-based approach in the enterprise blade market will have an opportunity to win significant market share."

About VDC
Founded in 1971, VDC is a technology market research and consulting firm that specializes in industrial and commercial electronics, computing, communications, software and power systems markets.

For further information about "BLADES 2: EMBEDDED AND ENTERPRISE MARKET DEMAND ANALYSIS, SECOND EDITION" or any other VDC service contact: Eric Gulliksen, Embedded Hardware Group Manager, 508-653-9000, Ext. 149, ericg@vdc-corp.com or Marc Regberg, Vice President, 508-653-9000 Ext. 111, msr@vdc-corp.com

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