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OPEN SOURCE AND JBOSS: A THREAT TO TOP VENDORS?

Software makers, citing its open source foundations, are adopting Linux in order to change their computational strategies and applications. However, few have stood up as open source advocates when it threatens their business ventures.

In addition, middleware leaders like IBM and BEA Systems have made no comments regarding 30-employee rival JBoss, which has been granted $10 million in venture capital from Matrix Partners and Accel Partners.

Though JBoss's software does not include all the features that IBM's WebSphere or BEA's Web-Logic does, it has the companies worried over its open source strategy for corporate customers. This new funding could make JBoss a serious contender in the market alongside IBM and BEA.


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With the new funding, JBoss plans to hire additional developers and senior execs to observe finance, business development, and marketing operations.

And though the firm won't provide a date, spokesmen say that an initial public offering is a definite possibility for the near future.

Middleware serves as a medium between multiple hardware and applications throughout a corporate network. Application servers, a type of middleware, shift information among databases and applications.

Though it competes in a $1.1 billion segment of the application server market, JBoss has yet to provide specific numbers regarding profits.

Yet JBoss firmly believes that its shortcomings will be overshadowed by the open source model that it provides, and that this will do damage to the big businesses that oppose it.

Volunteer programmers worldwide could vastly improve open-source software by being able to recognize underlying code. This would give programmers the ability to make software suitable for corporations' specific needs.

Because JBoss is run by a for-profit entity, it differs greatly from Linux.

While working for Sun in 1999, Marc Fleury wrote the software in his spare time. After gaining fans, Fleury started JBoss with the intent to provide free software, while offering other services to create a profit.

For example, even though anyone can copy or use the JBoss software, the company keeps control of the software's evolution and development.

JBoss's "professional open source" model allows users to get help from JBoss if problems arise.

Apple bundles JBoss with its server products and other companies like HP and Unisys, may soon be following suit. Yet dozens of companies, like CAI, Mercury Interactive, BMC, and Sterling Commerce include JBoss middleware already.

And even though the software is free, some firms choose to pay JBoss in order to be featured on the website or use its customer support.

JBoss may very well make big vendors nervous. For instance, BEA shares dropped 10 percent in one week last year due to a report that suggested General Electric would replace BEA WebLogic with JBoss. BEA shares are up to over 13 now from less than 10.

IBM declined to comment.

Some analysts are saying that JBoss would have been a real threat three years ago, but that IBM and BEA have improved greatly in recent years.

Others are arguing that JBoss won't actually save businesses money because the app server is a small part of a company's tech spending. Actual cost lies in running and maintaining applications and JBoss does not offer products to reduce this cost.

JBoss has encountered other problems as well. Seven of its developers quit last summer to form a rival consulting firm, making a significant dent in the small company's staff.

In addition, JBoss created some controversy last year when chief architect Bill Burke suggested that JBoss fans cast multiple votes in a "readers choice" poll by Java Developers Journal.

On top of this, JBoss was involved in a legal battle with Sun regarding their compliance with Java standards. Though JBoss refused to pay the large license fee Sun requires for certification, the two companies eventually settled and JBoss is, in fact, becoming certified. JBoss believes the settlement will ease user transition from WebSphere and Web-Logic to open source software.

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