Intelligence News

The last of the major supply chain management (SCM) companies, I2 Technologies Inc., is being acquired by JDA Software Group Inc. In other information management news, IBM Corp. expands the IBM InfoSphere family with new releases of multiple products and SAP AG announces a new Business Object product and integrated offering.

Focal Points:

• Last week JDA Software signed a definitive agreement to acquire i2 technologies in a cash deal valued at $346 million. Founded in 1988, the SCM vendor once had a market value of in excess of $30 billion. JDA had previously acquired Manugistics in 2006. I2's revenues have shrunk each of the last four years. JDA intends to add i2's 1,300 employees to its own 1,700 and to keep the i2 brand. The combined company will have more than 6,000 customers and revenues of $635 million. The deal is expected to close in the fourth quarter of 2008.
• IBM announced the InfoSphere Information Server 8 release and the Master Data Management (MDM) Server for Product Information Management (PIM). The InfoSphere Information Server enhancements include advanced grid and SOA capabilities, enhanced mainframe data support, and expanded global project support, with such features as support for nine different languages, global name recognition, and address verification. Other features address better deployment controls, drill-downs, rollback capabilities, and security. IBM's Business Glossary now has a Business Glossary Anywhere feature that enables real time access to the glossary from any application with a single click. The InfoSphere MDM Server for PIM contains improved manageability and usability features, Java API and SOA enablement, and integration with the Information Server, including pre-built templates and integration with the Business Glossary.
• Business Objects, an SAP company, unveiled the availability of BusinessObjects Xcelsius Present, a data visualization tool. Pre-loaded in the offering are ten ready-to-use data visualization templates, tailored for specific business functions, such as finance and accounting, human resources, marketing, and sales, as well as different vertical segments. According to the company, the tool transforms Microsoft Corp. Office Excel spreadsheets into PowerPoint or PDF visuals through interactive data visualizations and a simple, point-and-click interface. "What if" scenarios can be demonstrated using interactive graphics such as dials, charts and gauges.  Pricing starts at $195. In other news, Business Objects announced both new and existing customers of the SAP Business One application can receive a free version of basic Crystal Reports software, which the companies have integrated with the Business One application. A single copy is now generally available at no additional cost to SAP Business One customers that are current with their SAP maintenance plans, according to the company.

Experton Group believes the shift to integrated software solutions versus best of breed products by IT executives doomed i2's independence and is the driver behind the IBM and SAP product integration announcements. The IBM InfoSphere announcements are only one component of IBM's strategy to combine a number of its Information Management products into a more simplified structure with three layers: content and data management; InfoSphere information integration, management, and warehousing; and Cognos business intelligence and performance management. IBM integration and simplification effort is a strong step in the right direction, as are SAP's integration efforts. The disappearance of an independent SCM market marks the end of an era but it was inevitable, as large players such as Oracle Corp. and SAP expanded their business application offerings through acquisitions and internal development. IT executives should understand the impacts of vendor software integration efforts on enterprise functionality time line requirements. Tightly integrating software products that did not work well together before can take significant resources and can impact the release of other needed features. IT executives should expect the i2/JDA integration, and certain aspects of the Business objects/SAP integration, to fall in the latter category.