Over a period of five years, IBM’s multi-billion dollar investment substantially increased the value of the zSeries mainframe to businesses. By 2003, the zSeries mainframe offered unrivaled value to organizations of all types through unrivaled Quality of Service (QoS), superior workload capabilities, significantly lower costs, open standards support, and an excellent portfolio of IBM middleware and application development solutions. Today, thousands of organizations throughout the world have rediscovered the values of the mainframe, and are leveraging these systems to lower their transaction costs. The result is the ability to process transactions at a very low cost with superior dependability, thereby delivering organizations with a significant competitive advantage.
Emerging growth markets have capitalized on the mainframe’s business benefits. Fast-developing markets such as China, India, Brazil, and Russia have rapidly adopted the mainframe as the foundation upon which to build their IT infrastructures. As global enterprises streamline business models and integrate their people, business processes, and information, the importance of using mainframes as a solid foundation has never been more relevant or desirable. The QoS, security, flexibility, and cost-effectiveness of a centralized mainframe is simply unmatched by any other platform.
In fact, here are some proof points that support reasons for this resurgence:
• Installed mainframe MIPS soared almost sixfold from 1.8 million first quarter 1997, to 11 million in second quarter 2007.
• Mainframes again dominate the high-end server market with a commanding number-one position at 35 percent plus market share by revenue.
• Mainframe MIPS growth averaged strikingly high Compound Annual Growth Rate (CAGR) of 26 percent for 1997 to 2000, and 19 percent from 2000 to 2005.
• More than 60 percent of new MIPS capacity sold since 2000 is running “new-to-mainframe” workloads (i.e., Linux, Java 2 Platform Enterprise Edition, Enterprise Resource Planning, etc.).
• Steep growth in System z specialty engine capacities: IPL 70 percent CAGR since 2000, zAAP 91 percent CAGR since 2004, and zIIP 159 percent since 2006.
• 500 customers new to the mainframe added since 2000 (not seen since the ’80s/early ’90s).
• More than 47,000 students received mainframe education from more than 300 universities through the IBM Academic Program for System z.