Re: Informix Directions

Greg Moye wrote: > > I don't claim any special insight, but it's pretty clear that any engine > release > 5 is aimed there. It's also where the money is. At the > very least, they should seperate the big systems sales efforts from > small, they're very different. As a DBA, things don't get interesting > until physical CPU's exceed 8 or 10. Informix is just plain overkill on > smaller machines/applications, way too complicated for amateurs futzing > around on PC's. About the only reason I see to fool with the low end is > to enable a "complete" Informix solution. Personally, I wouldn't bother > with low end sales not attached to a high end sale. Too much cost, not > enough benefit. > Well, since you are posting from EDS, I'll poke fun of you. :-) (Nothing personal, just that you have been brainwashed and have too many blue suits in your closet ;-) Informix hasn't done their homework. Focusing on the 20% of their clients which result in 80% of their income is extremely short sighted. Here's why. 1) Too small a base. You end up with a niche product which has minimal growth potential. You end up with a niche that has several larger competitors which are more capable of selling solutions. Read Oracle, IBM, etc ... You end up with a finite client base which means that after you sell them a product, you can only sell them upgrades and professional services. With a niche product, finding skilled talent who is experienced with the product becomes expensive for the client, hence an increase in TCO (Total Cost of Ownership) 2) No developer pool Who do you think makes the sale? The sales rep whom everybody realizes you can't trust? Or the consultant who shows up to work for you every day and works his wonders? Where do you think that the consultant gets his skills? 3) Higher marketing costs Yes, marketing. The cheapest marketing is word of mouth. If no one but a small niche is using your products, then there is no one *selling* your products. (Hint: The sales rep closes the deal, the SE, Professional Services, outside consultants [EDS included] make the client happy and provide the solutions) You also have to combat your competitors on selling FUD Fear, Uncertainty, and Doubt. Remember, Informix sells only the tools. Not the complete solution. (Unlike Oracle) 4) Higher costs in development and partnering Since you don't have a large *comercial* base to sell your software, keep in mind, you are now a niche player. That means you have to spread your development costs over fewer players. This increases the cost of your software and could cut in to your margins. You also need to find *partners* to develop products for you using your tools. Such as PeopleSoft, or in Informix's case, certain datablades. The problems occur that these niche products must find a certain market else their cost of development makes it not worth the while of the *partners*. 5) Larger customers tend to be fickle. Since they can keep multiple teams busy and most likely have a heterogenous environment. This means that they most likely have projects using both yours and your competitor's products. This has an effect on your margins since you now have to compete on price since both you and you competitors have similar technologies. FUD is a bigger determining factor than having a product that gets the job done. Also larger customers can afford to scrap the entire project and start over. Since you're from EDS, ask some of your "older" consultants if they ever worked at Montgomery Ward. (EDS was once the outsourcer for their IT dept. MW then scrapped it and took it back inside.) 6) Smaller client base means less need for R&D. Since you are catering to a smaller customer base, you no longer have to try and predict the new technologies and focus on being a leader. You merely have to be reactive to you customer base and develop to their needs. This will stagnate your company. I'll give an example of this later..... > Just my opinion, of course, worth every penny you paid for it. > Linuxers, please hold the tomatoes.... > > Greg > Well, then, I want my money back ! :-) By having a wider audience you reduce risk. You could take online 7.x (OWS) and place it in situations which will compete extremely well with Oracle or Microsoft. Infact if I were Informix, I'd start to question Microsofts practice of bundling SQL Server with the OS. Smells like it could be an anti-trust issue too! But I digress. I could go on and bash Informix on their business decision. However, I'd rather save it for another day. My point is that chasing the *quick* dollar doesn't do anything towards building the company nor shareholder value. -Just a few sage words from your Uncle Mikey -- #include <std_disclaimer.h> /* Mike Segel (MS385) */ #include <No_Spam.h> #ifdef OFFENDED_BY_CONTENT The author takes no responsibility for this post. 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