Application Integration (EAI) Market Opportunities, Strategies, and Forecasts,

2002 to 2007

Application Integration Market Assessment

 

Picture by Susie Eustis

 

 

 

MOUNTAINS OF OPPORTUNITY

 

WinterGreen Research, Inc.

Lexington, Massachusetts          www.wintergreenresearch.com

 

 

 

Application Integration Markets,

Enterprise Network Automation,

Connecting Applications,

Rules Engines, Business to Business Exchanges,

Segment Analysis, Supply Chain Automation

MARKET STRATEGIES    FORECASTS TO 2007

 

 

CHECK OUT THESE KEY TOPICS

 

Integration Drives Industry Automation

AI Market Strategies

AI Market Positioning

AI Market Growth Opportunities

End to End Solutions

Rules Engines Positioned As Primary Systems

AI Market Forecasts

Worldwide Market Shares

Market Trends

Rule Engines

Switches, Routers, Adapters, Routing Engines

Transformation Engines, Publish Subscribe

Integration Broker Markets Shares

EAI Market Shares

Business Process Management

 

OPPORTUNITY ABOUNDS

WinterGreen Research, Inc.

Lexington, Massachusetts

www.wintergreenresearch.com

Application Integration Market Opportunities, Strategies, and Forecasts, 2002 to 2007

Competitive pressures, macroeconomic volatility, corporate mergers, acquisitions, the Internet, shortened product development times, shortened production cycles, shifting supplier relationships, and diverse customer demands are forcing companies to adapt to changing market conditions.  Markets in every industry need application integration solutions that are reliable, secure, centrally managed, and scalable to a very large number of disparate users.  The business and economic environment presents companies with challenges that con only be met by real time exchange of transaction information. 

Application Integration supports implementation of aggressive e-Business initiatives.  Business transactions and relationships are conducted electronically over networks.  Networks need to support messages that hold transactions. 

The e-business initiatives need application integration to operate more efficiently and communicate better with suppliers, customers and partners.  Companies have made significant investments in a range of custom and packaged software applications such as enterprise resource planning, or ERP, supply chain management, or SCM, customer relationship management, or CRM, decision support, and e-Commerce technologies.

The application integration software license market grew 10% in 2001 to reach $1.265 billion, up from $1.1 billion in 2000.  IBM is the market leader followed by Tibco.  Markets are expected to grow 25% in 2001 reaching $1.6 billion.  By 2007 application integration software license revenue is expected to be $5.9 billion reflecting the need to use integration to conduct commerce over networks.

 

 

 

Companies Profiled

 

Market Leaders

International Business Machines (IBM)

Tibco Software / Talarian

webMethods

SeeBeyond

Vitria Technology

GE Global eXchange Services (GXS)

Sybase / New Era of Networks

BEA

Mercator

Sun / iPlanet

 

Other Market Participants

Microsoft

Fujitsu

Hewlett Packard

IONA

Bowstreet

Borland

Cape Clear

Casablanca

Celcorp

Covast

Cysive

Envoy Technologies

Esicon

Fiorano

Gresham Computing

Hummingbird

Information Builders / iWay Software

ItemField

Level 8

M2 Systems

Optio

Oracle

Peregrine / Extricity

Progress Software / Sonic Software

RosettaNet

Sagent

SAP

SilverStream

Sopra / Viewlocity

Software AG

SunGard / Mint

TTM

WebEx Communications

 

Application Integration (EAI) Market Strategies and Forecasts,  2002-2007

 

REPORT METHODOLOGY

 

This is the hundred and thirtieth report in a series of market research reports that provide forecasts in communications, telecommunications, the internet, computer, software, and telephone equipment.  The project leaders take direct responsibility for writing and preparing each report.  They have significant experience preparing industry studies.  Forecasts are based on primary research and proprietary data bases.  Forecasts reflect analysis of the market trends in the segment and related segments.  Unit and dollar shipments are analyzed through consideration of dollar volume of each market participation in the segment.  Installed base analysis and unit analysis is based on interviews and an information search.   market share analysis includes conversations with key customers of products, industry segment leaders, marketing directors, distributors, leading market participants, opinion leaders, and companies seeking to develop measurable market share.  Over 200 in depth interviews are conducted for each report with a broad range of key participants and industry leaders in the market segment.

 

 

 

 

 

 

 

 

YOU MUST HAVE THIS STUDY

 

 

Application Integration (EAI) Market Opportunities, Strategies, and Forecasts,

2002 to 2007

Table of Contents

APPLICATION INTEGRATION Executive Summary

Summary Forecasts Application Integration 

 

application integration Executive Summary. ES-1

Application Integration Market Trends  ES-1

Application Integration Broker Markets Shares  ES-3

(AI) Integration Broker Market Forecasts  ES-4

Homegrown Integration Systems  ES-6

Application Integration Retrieval of Information

From Disparate Places  ES-6

Difference Between An Application Server and

Application Integration  ES-7

Difference Between Business Process Management (BPM)

and Workflow   ES-7

 

APPLICATION INTEGRATION Market Description

 

1. Application Integration Solutions   1

1.1           Creating Advanced E-Business Infrastructure  1-1

1.2           Application Integration Technical Advantages  1-2

1.2.1               Application Integration Business-Oriented Advantages  1-4

1.2.2               Reducing Costs  1-4

1.2.3               Addressing A Complex Marketplace  1-5

1.2.4               Better Customer Service  1-5

1.3           Application Integration Market Drivers  1-6

1.4           Internet As A Sales Channel 1-7

1.4.1               Impact Of XML  1-7

1.5           Internet Commerce  1-8

1.6           Complexity Of Integrating Internal And External Systems  1-10

1.7           Choice Of Systems  -  Site Visits  1-13

1.7.1               Service-Oriented Architectures  1-14

1.8           Automating Business Processes  1-14

1.9           Change In Integration Markets  1-16

1.10         Rapid, Reliable, Scalable Integration Solutions  1-19

1.11         Linking Internal Operations  1-22

1.12         Automated Solutions Requirements  1-23

1.13         Routing And Communication  1-25

1.14         Message Brokers  1-27

1.15         Transformation Solutions  1-29

1.16         Broker Agent Architecture  1-29

1.17         Multicasting  1-31

1.18         Web-Based Applications  1-33

1.19         Record-Keeping Inside Applications  1-33

1.20         Uses Of Application Integration  1-35

1.21         Comprehensive Storage Solutions  1-37

 

APPLICATION INTEGRATION Market FORECASTS

 

2. AI Market Forecasts   2-1

2.1           Application Integration Market Trends  2-1

2.1.1               Enterprise Application Integration (AI) For Back End Systems  2-3

2.1.2               Enterprise Application Integration (AI) For Front End Systems  2-4

2.1.3               Customer Service  2-5

2.1.4               Partner Business Drivers  2-5

2.1.5               Business Process Integration  2-6

2.1.6               Integration Of Business Processes  2-8

2.2           Impact Of Mergers And Acquisitions  2-8

2.2.1               Expand Strategic Partnerships  2-11

2.3           Electronic Commerce  2-11

2.4           Role Of Mission Critical AI 2-15

2.5           Market Driving Forces  2-16

2.6           Message Broker Market Description  2-19

2.7           Application Integration Challenges  2-20

2.8           Business Benefits  2-22

2.9           Application Integration Market Shares  2-23

2.10         (AI) Integration Broker Market Vendor Growth  2-27

2.11         Vendors With A Broad Suite Of Products  2-29

2.11.1             Total Segments By Vendor 2-29

2.11.2             IBM    2-32

2.11.3             Tibco  2-34

2.12         (AI) Integration Broker Market Forecasts  2-35

2.12.1             AI Integration Broker Segment Market Analysis  2-38

2.13         Routing and Rules Brokers  2-42

2.13.1             AI Rules Engine Message Broker Market Forecasts  2-46

2.14         Adapter Brokers  2-48

2.14.1             Adapter Broker Engine Market Forecasts  2-51

2.15         Business Analyst Message Broker Market 2-54

2.15.1             Business Process Management Market Forecasts  2-57

2.16              Distributed Processing Publish Subscribe

            Integration Broker Market Shares  2-59

2.16.1                 Distributed Processing Publish Subscribe

                Integration Broker Market Forecasts  2-62

2.17         Transformation Broker Markets Shares  2-64

2.17.1             Transformation Broker Market Forecasts  2-67

2.18         Process Workflow Market Shares  2-70

2.18.1             Process Workflow Market Forecasts  2-72

2.19         E-Business  2-74

2.19.1             B to B   2-76

2.19.2             Global Exchange Services  2-79

2.20         AI Regional Analysis  2-80

2.21         Direction Of EAI Markets  2-84

2.21.1             Major Participants Going Forward  2-85

 

 

 

 

APPLICATION INTEGRATION PRODUCTS

 

 

3. Application Integration Products   3-1

3.1           Rules Engines and Brokers  3-1

3.1.1               IBM WebSphere MQ Integrator 3-2

3.1.2               MQ Integrator 3-3

3.1.3               IBM Infrastructure For Real-Time Network  3-8

3.1.4               Business Need  3-10

3.1.5               MQ Integrator Platforms  3-12

3.2           Tibco Software  3-16

3.2.1               Tibco Suite Of Message Brokers  3-16

3.2.2               TIB Products  3-17

3.2.3               Tibco Active Enterprise  3-21

3.2.4               Tibco Active Exchange  3-22

3.2.5               WebMethods B2Bi Solution Suite  3-24

3.2.6               WebMethods Security Initiatives  3-24

3.2.7               WebMethods Open Security Standards Initiative  3-25

3.2.8               SeeBeyond  3-28

3.2.9               SeeBeyond E-business Integration™ Suite  3-30

3.2.10             Sybase / New Era Of Networks  3-31

3.2.11             Sybase E-Business Enabling Software  3-31

3.2.12             Sybase / New Era Of Networks Product Suite  3-32

3.2.13             iPlanet 3-35

3.2.14             BEA   3-37

3.2.15             BEA Web Services Architecture  3-38

3.3           Adpaters  3-39

3.3.1               IBM WebSphere Adapters  3-40

3.3.2               IBM® WebSphere MQ Adapter Builder 3-44

3.3.3               IBM Adapter Packages  3-45

3.3.4               Tibco Extensibility  3-45

3.3.5               Tibco XML Support For Databases  3-46

3.3.6               Tibco XML Canon/Developer™    3-46

3.3.7               Sybase / New Era Of Networks Adapters  3-51

3.3.8               Sybase / New Era Of Networks E-Commerce Solutions  3-53

3.3.9               Sybase / New Era Of Networks Healthcare  3-55

3.3.10             Sybase / New Era Of Networks Adapters  3-56

3.3.11             XML  3-57

3.3.12             Web Methods  3-57

3.3.13             WebMethods XML Standards  3-58

3.4           Business Process Management (BPM) 3-58

3.4.1               Business Process Management Layer Above Message Broker 3-59

3.4.2               Business Process Management For Financial Services  3-60

3.4.3               Business Process Management For The HealthCare Industry  3-60

3.4.4               Business Process Management For The Utility Industry  3-61

3.4.5               IBM WebSphere MQ Integrator

             Business Process Management 3-62

3.4.6               Vitria Business Process Management 3-65

3.4.7               Vitria BusinessWare Collaborative Applications  3-65

3.4.8               Vitria Collaborative Information Models  3-68

3.4.9               Tibco Software BPM    3-68

3.4.10             Tibco Real-Time Trade Management Solution  3-69

3.4.11             iPlanet Business Process Automation  3-72

3.4.12             Sybase / New Era Of Networks Business Process Manager 3-72

3.4.13             Sybase BPI Suite  3-73

3.5           Supply Chain Transformation  3-74

3.5.1               GE Global Exchange  3-75

3.5.2               GE Global Exchange Intelligent Supply Chain  3-76

3.5.3               GE GXS Sourcing  3-77

3.5.4               GE GXS Services  3-78

3.5.5               Mercator 3-79

3.6           Publish/Subscribe  3-80

3.6.1               Tibco  3-81

3.6.2               Tibco / Talarian Multicast Technology  3-81

3.6.3               IBM WebSphere MQ Integrator Publish/Subscribe  3-82

3.6.4               IBM WebSphere MQ Mission Critical Messaging  3-85

3.7           Workflow   3-90

3.7.1               IBM WebSphere MQ Workflow   3-90

3.7.2               Tibco InConcert 3-92

3.8           Web Services  3-92

3.8.1               IBM WebServices  3-92

3.8.2               Sybase Web Services  3-93

3.8.3               Vitria Rosettanet Web Services  3-93

3.8.4               BEA WebLogic  3-93

3.8.5               BEA's Web Services Architecture  3-94

3.9           Mobile and Remote Integration  3-95

3.9.1               Real Time Data Acquisition  3-95

3.9.2               IBM WebSphere MQ Everyplace  3-96

3.9.3               Evolving Systems  3-99

3.9.4               Evolving Systems Wireless Services  3-100

3.10         Integration Platforms  3-103

3.10.1             Different Approaches To The AI Market 3-106

 

APPLICATION INTEGRATION TECHNOLOGY

 

4. Application Integration Technology  4-1

4.1           Enterprise Integration Analysis  4-1

4.2           EAI Business Benefits  4-2

4.3           Events  4-3

4.3.1               Event Transmission  4-6

4.3.2               Business Process Automation  4-7

4.4           Advanced E-Business Infrastructure  4-10

4.4.1               Application Integration Technical Advantages  4-11

4.5           Integration System Architecture  4-12

4.6           Open Systems  4-13

4.7           Xml standards  4-14

4.7.1               XML  4-15

4.7.2               XML Meets The Integration Challenge  4-15

4.8           Java  4-16

4.8.1               AI Vendor Commitment To Java  4-17

4.8.2               Advantages Of Java In Context Of Application Integration  4-17

4.9           Web Services  4-18

4.9.1               Soap  4-18

4.9.2               Apache Soap  4-19

4.9.3               Load Balancer With SSL Support 4-19

4.9.4               Points Of Failure  4-20

4.9.5               Soap Limitations  4-21

4.9.6               WSDL  4-23

4.9.7               WSDL Service Descriptions  4-24

4.9.8               UDDI Registry  4-24

4.9.9               UDDI Test Registries  4-25

4.9.10             UDDI Distributed Web Service Discovery  4-25

4.9.11             UDDI Consortium   4-27

4.9.12             WS-Inspection Document Extensibility  4-27

4.10         XSLT   4-28

4.11         OASIS  4-29

4.12         ebXML  4-30

4.12.1             ebXML And Open Applications Group OAGIS Standards  4-30

4.12.2             EBXML Standard  4-31

4.13         IP Management 4-32

4.14         wap  4-34

4.15         Business Focus Of AI Software  4-35

4.15.1             The Business Imperative  4-37

4.16         Customer Needs Cry Out For Solutions  4-41

4.17         AI Applications To The Rescue  4-44

4.18         Application Integration Functionality  4-46

4.18.1             Role Of Messaging  4-50

4.18.2             Role Of Routing  4-51

4.18.3             Role Of Transformation Engines  4-51

4.18.4             Role Of Point Solutions  4-52

4.18.5                 Role Of Distributed Computing Brokers

               And Publish/Subscribe  4-52

4.19         Competitive Advantage  4-53

4.19.1             Role Of Objects  4-55

4.19.2             Role Of AI For Storage Area Networks  4-55

4.19.3             Change Drives AI Markets  4-57

4.19.4             Business Process Management Services  4-57

4.19.5             Business Process Management End-To-End Solutions  4-58

4.19.6             Intelligent Infrastructures  4-59

4.19.7             Role Of Switching  4-59

4.19.8             Business Event Integration  4-60

4.19.9             Role Of SANs  4-61

4.20         Uses And Benefits Of AI Applications  4-62

4.21         The Event Driven Enterprise  4-63

4.21.1             The Business Payoff 4-64

4.21.2             Enterprise Process Executive  4-65

4.21.3             Automation Of Installation  4-66

4.22              Mission Critical Messaging As A Base For

            Application Integration  4-67

4.22.1             IBM WebSphere MQ   4-68

 

APPLICATION INTEGRATION COMPANY PROFILES

 

5. Application Integration Company Profiles   5-1

5.1           BEA       5-1

BEA WebLogic E-Business Platform   5-2

5.1.1               BEA Web Services  5-3

5.1.2               BEA Core Business  5-4

5.1.3               BEA WebLogic Portal 5-5

5.1.4               BEA Customer Base  5-5

5.1.5               BEA Systems and Novell 5-7

5.1.6               BEA Product Development 5-7

5.1.7               BEA Revenue  5-7

5.2           Borland     5-9

5.3           Bowstreet 5-11

5.4           Cape Clear 5-11

5.4.1               CapeConnect Features  5-12

5.5           Casablanca  5-14

5.6           Celcorp     5-17

5.7           Covast   5-18

5.8           Cysive    5-18

5.9           Envoy Technologies  5-19

5.9.1               Envoy Installed Base  5-20

5.9.2               Level 8 System Sold Geneva Messaging to

             Envoy Technologies  5-20

5.10         Esicon     5-22

5.11         Fiorano     5-24

5.11.1             Fiorano Tifosi 5-25

5.11.2             Message Content Routing Solution  5-25

5.12         GE Global eXchange Services (GXS) 5-27

5.12.1             GXS Integration Solutions  5-28

5.12.2             GE Interchange Solutions  5-28

5.13         Gresham Computing  5-29

5.14         Hewlett Packard  5-30

5.15         Hummingbird  5-31

5.16         International Business Machines (IBM) 5-32

5.16.1             IBM Revenue  5-33

5.16.2             IBM Fourth-Quarter and Total Year 2001 Revenue  5-34

5.16.3             Websphere MQ Product Family  5-37

5.16.4             IBM Middleware  5-38

5.16.5             IBM Middleware Products  5-38

5.16.6             IBM / Nortel 5-40

5.17         Information Builders / iWay Software  5-41

5.17.1             iWay Software  5-41

5.17.2             iWay Software OEM Agreement With Ascential™ Software  5-43

5.17.3             iWay Adapters Synchronize With Microsoft Web Services  5-43

5.17.4             XML Transformation Server (XTS) 5-44

5.17.5             Enterprise Integration Broker (EIB) 5-45

5.17.6             iWay Intelligent Adapter Suite  5-46

5.17.7             iWay's Suite Of Intelligent Adapters  5-46

5.18         IONA       5-46

5.18.1             IONA Revenue  5-47

5.18.2             IONA Partnership Agreements  5-48

5.18.3             IONA Customers  5-48

5.18.4             IONA Products  5-49

5.18.5             IONA Acquires Integration from Software AG   5-49

5.19         ItemField  5-50

5.20         Level 8    5-52

5.20.1             Level 8 to Focus on Cicero  5-52

5.20.2             Geneva Business Process Automator 5-52

5.20.3             France Telecom Deploys Level 8 Software  5-53

5.20.4             Level 8 Customers  5-54

5.20.5             Level 8 Systems Revenue  5-54

5.21         Mercator Software  5-56

5.21.1             Mercator Strategy  5-57

5.21.2             Mercator Revenue  5-58

5.21.3             Mercator Strategic Alliances  5-61

5.22         Microsoft 5-61

5.22.1             Microsoft.Net 5-63

5.22.2             Microsoft BizTalk Server 5-64

5.23         M2 Systems  5-65

5.23.1             M2 Systems Approach  5-65

5.24         Optio     5-65

5.24.1             Optio / Muscato / Translink  5-66

5.24.2             Optio Software Customer Base  5-66

5.24.3             Optio / JP Mobile Alliance  5-67

5.25         Oracle    5-67

5.26         Peregrine  5-69

5.26.1             Peregrine / Extricity  5-70

5.26.2             Peregrine Systems Advanced Business Integration Suite  5-71

5.26.3             Peregrine Systems Revenue  5-71

5.27         Progress Software  5-72

5.27.1             Sonic Software  5-72

5.28         RosettaNet 5-72

5.29         Sagent   5-73

5.29.1             Sagent Customers  5-73

5.30         SAP     5-74

5.31         SeeBeyond Technology  5-75

5.31.1             SeeBeyond Solution  5-75

5.31.2             SeeBeyond Business Integration Suite  5-76

5.31.3             SeeBeyond Customers  5-79

5.31.4             SeeBeyond Alliances with Leading Systems Integrators  5-83

5.31.5             SeeBeyond Revenue  5-84

5.32         SilverStream   5-84

5.33         Sopra / Viewlocity  5-85

5.33.1             Sopra / Axway / Viewlocity  5-86

5.34         Software AG   5-87

5.34.1             XML-Based Integration Technology. 5-87

5.34.2             Software AG / Altio  5-88

5.34.3             Software AG Revenue 2001 · 5-88

5.34.4             Software AG / Red Oak Software  5-89

5.34.5             Software AG EntireX   5-90

5.35         Sun Microsystems / iPlanet 5-90

5.35.1             Sun Application Server Framework  5-91

5.35.2             Sun Microsystems Java  5-91

5.35.3             Sun Microsystems / iPlanet 5-92

5.36         SunGard / Mint 5-93

5.36.1             SunGard Integrated IT Solutions  5-94

5.36.2             SunGard Vision  5-94

5.36.3             SunGard Strategy  5-95

5.36.4             Mint   5-96

5.36.5             FIXML     5-97

5.36.6             Infinity/Network Trade Model 5-97

5.37         Sybase    5-97

5.37.1             Sybase Third Quarter Revenue  5-98

5.37.2             Sybase Customers  5-99

5.37.3             Sybase Products  5-99

5.38         Tibco Software  5-99

5.38.1             Tibco Software 2001 Revenue  5-100

5.38.2             Tibco Strategic Partners  5-101

5.38.3             Tibco Strategic Alliances  5-102

5.38.4             Tibco Products  5-102

5.38.5             Tibco Revenue  5-103

5.38.6             Hewlett-Packard and Tibco  5-105

5.38.7             Tibco Acquires Talarian  5-106

5.38.8             Talarian  5-106

5.38.9             Talarian SmartSockets  5-107

5.38.10           Tibco Customers  5-107

5.38.11           Talarian Software Customers  5-109

5.39         TTM        5-112

5.40         Vitria Technology  5-112

5.40.1             Vitria RosettaNet 5-114

5.40.2             Vitria Web Services  5-114

5.40.3             Vitria Customers  5-115

5.40.4             Vitria Customers and Partners  5-115

5.40.5             Viitria Revenue  5-127

5.40.6             Vitria BusinessWare Product 5-129

5.41         webMethods  5-131

5.41.1             webMethods Customers and Strategic Partners  5-132

5.41.2             webMethods Workflow   5-135

5.42         WebEx Communications  5-136

 

 

List of Tables and Figures

 

APPLICATION INTEGRATION EXECUTIVE SUMMARY

 

Table ES-1  ES-2

Networked Business Systems Integration 

Figure ES-2                                                                                                                                                                  ES-4

Worldwide Application Integration Market Shares, 2001

Figure ES-3                                                                                                                                                                   ES-5

Summary Worldwide Application Integration Broker

Market Forecasts, 2002-2007

 

APPLICATION INTEGRATION Market Description