Module 2: Enterprise System Software Strategy

The network explosion and the arrival of ubiquitous computing offer tremendous business opportunities for our
customers. This module will teach you how Sun network solutions, especially as powered by Java Technology,
unleash the innovation that your customers need to take advantage of these opportunities.

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Objectives
The objective covered in this module is:

z Describe Sun's enterprise software strategy

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Software Strategy
By now, you know that the future of the network is not in PCs (personal computers) or products that run on
boxes. Rather, as the network becomes ubiquitous, its future is to deliver value-added services that connect and
combine business intelligence in innovative and surprising ways. Upon completion of this lesson, you will be able
to communicate the following information:

z Describe the business value of the network for your customers

z Describe JavaTM technology's critical role in powering the network
z Describe Sun's unique solutions to your customer's unique problems

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The Business Value of the Network
Real business value for your customers comes when you can connect the value of their goods and services to as
many devices and services as necessary to meet demand. You can increase this business value by combining
your customers' business services with services created by other businesses. In the end, these combinations may
create exponential business opportunities for your customers.

MORE: Keep in mind, to deliver services to goods and other services, you have to rethink the network and
expand your vision and your customers' visions of the network.

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Example
Consider this example: 10 percent of the current global music market is not delivered by way of CD, DVD, radio,
or MP3 players, but rather by way of mobile phones. Record companies are able to stream small pieces of their
best selling songs to mobile phones as custom ringtones. Today, the global ringtone market is $2 billion (USD)
and is expected to grow to $4 billion (USD) in 2005.

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Role
And how have companies been able to create this new ringtone market and, therefore, grow their businesses? By
using their networks, of course. New markets, such as this one, are possible because we can increase the
availability of our customers' services by making them run seamlessly on the network. Moving forward, you will
learn how Sun's software strategy helps enable our mission to turn innovation into real customer value.

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Java Technology Powers the Network
It is no longer enough to have several computers talking to each other and sharing resources. To be competitive
in today's market, you must have many different types of devices talking and sharing resources across many
different types of communication mediums.

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Customer Needs
For shared network services to work, and for your customers to realize the business value of their networks, they
must be able to communicate across different types of communication networks. In addition, your customers
must be able to authenticate and identify their customers across many platforms and communication networks.

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Java Technology Runs the Services
We all know what runs the majority of services on our customers' devices: Java technology. Java technology
enables the deployment of computing systems that span multiple computing platforms and communication
networks. Simply put, Java technology runs the services that run business.

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Java Technology Connects More Devices
Java technology connects more devices than any other platform. Java technology also connects these devices
more securely and provides a higher return on investment (ROI) than any other platform. In addition, it does not
matter which operating systems your customers use to run their businesses, including their mobile devices,
because it is Java technology that powers the business applications and protocols that connect the services and
create value for the users.

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System Evidence
How can we put this information into perspective? Consider this evidence: Most of the world's servers and
desktops run Java technology. In fact, at the end of 2003, we had over half a billion desktops running Java
technology. At that time, Microsoft was also actively blocking Java technology deployments on their desktop
operating systems. Now, even Microsoft is embracing Java technology.

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PC and Mobile Phone Evidence
Moving on to to PCs, most of the world's PCs and operating systems ship with the latest Java runtime from Sun,
including computers built by Apple, Dell, HP, Microsoft, [Link], Acer, Gateway, Samsung, Toshiba, and
Fujitsu. In addition, Ovum estimated at the end of 2003 that 253 million Java platform phones would be in use at
the start of 2004.

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Java Card Evidence
Finally, there are also hundreds of millions of Java CardTM systems in use today. For example, if you have a phone
with a Subscriber Identification Module (SIM) in the back, you have a little piece of Sun with you because a SIM
is a Java Card technology

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Critical Role
This extraordinary list of evidence is quickly growing because secure anytime, anywhere access is a business
demand. In fact, authentication is a crucial element to the delivery of network services. So, our role is critical in
today's world because nobody delivers secure, ubiquitous computing like Sun.

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Top Customer Issues
Your customers may see this network explosion and the arrival of ubiquitous computing as a tremendous
business opportunity or as an enormous headache. Many of your customers are already running ERP (enterprise
resource planning), inventory, warehousing, and HR (human resources) systems, among others. Each customer
also has a unique set of concerns. Before your customers can begin to take advantage of opportunities, they
must understand how we can help them solve their specific problems.

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Customer-Centered Solution Path
As you know, we have worked together to create best-of-breed reference architectures, methodologies like AIM,
and iForce Centers. Each element is a piece of a customer-centered solution path that we hope helps you find
unique solutions to your customer's unique problems. These elements will help you discuss with your customers
how to simplify their business operations as well as how to simplify the IT operations and service lifecycles that
enable their business.

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Systems Compared to Products
Today's world requires us to think differently about software. In the beginning, we focused on delivering software
products that run on boxes. However, with our customers running their businesses in a service environment, we
now need to focus on delivering software systems that enable and encourage shared network services.

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System-Level Solutions
To simplify things for our customers and us, we are integrating our 225 separate software products into system-
level solutions that help leverage your customers' software investments and reduce the cost and complexity of
doing business with Sun.

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Simplify Integration
Our software approach is to combine the building blocks into pre-integrated systems that are tested for
interoperability and hardened with a common security, availability, and scalability architecture. This approach
gives customers a complete offering built on open standards so they are not locked into any given component.

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Simplify Pricing
Next, we are simplifying the pricing and licensing of our systems. Instead of offering prices per component, per
CPU (central processing unit), or per service deployed, we are delivering each complete system with a single
price, a single license, and an unlimited right to use. So, you have the freedom to deploy, re-deploy, reconfigure,
scale, and replicate services as your customers' business needs require.

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Simplify Deployment
We are also addressing the soft costs of service deployment by including the consulting, training, and support
services in the price of the system. This way, you can determine the fastest way to deploy the system and
educate your staff on the new system. You also have a single phone number to call throughout your service life.

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Simplify Upgrades
To ensure that you will not face difficult upgrades in the future, we are building backward compatibility into the
systems from release to release. This feature lets you seamlessly upgrade at your own pace, without having to
rewrite custom software or patch third-party elements that you may have added.

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Use Open Standards
Finally, to give your customers the flexibility they need to meet their growing needs, we have tied all the pieces
together with well-documented open standards. Using open standards assures our customers that customizing
the stack and adding third-party components will be easy tasks.

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Summary
The network is expanding and creating exponential business opportunities for our customers to offer goods and
services on multiple networked devices. As Java technology runs the majority of services on our customers'
devices, we are well positioned to help our customers take advantage of these business opportunities. As a
systems company, we can help our customers simplify integration, pricing, deployment, and upgrades through
the use of open standards.

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Apply Your Knowledge
You should now be able to:

z Describe Sun's enterprise software strategy

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