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January 1, 2002

The Dozen 2002

BEA Systems Inc.

San Jose, Calif./Paris, France

"The next killer app for portals," said the Delphi Group, in a recent white paper, "is to deliver the ability to decompose the fundamental elements that comprise packaged portal applications into reusable software components. In this way, the role of the portal is that of a delivery platform for multiple sets of application services, rather than a single package of application code. In contrast with the current generation of portal products differentiation is determined not by the extent of built-in functionality, but rather the diversity of software components the portal supports."

With due credit, no better words describe the land of opportunity in the EIP marketplace. The portal is the dividend business users finally receive after all the investment in enterprise applications. The portal is also the delivery platform for external Web services. All of this gets the attention of "total" solution vendors vying to dominate this new paradigm, including Computer Associates, IBM, Hewlett-Packard, Microsoft, Oracle, and Sun Microsystems. BEA Systems, with its market-leading WebLogic application server, has been a "coopetition" partner with many of these companies. But as most have now settled on their own technology as the beating heart of evolving Web services, relations with BEA are, shall we say, changing.

BEA accepts the challenge. In October 2001, the company introduced WebLogic Portal 4.0. The new product hits all the high notes for modern portals: single point of entry, customization for different classes of users, and a range of e-business services. For the new release, BEA leveraged the expertise of portal technology leader Autonomy to handle aggregation, categorization, hypertext linking, and other functions regarding both structured and unstructured information.

THE GRAND EXPANSION

For BEA, the portal is an organic expansion from its core function as a provider of e-business infrastructure. As an open, J2EE-compliant product, WebLogic is already a platform for reusable software components and XML integration; these are part of BEA's core competence. EIP excellence demands tight coordination between presentation, interaction, integration, server, and systems layers, which is exactly what BEA aims to deliver.

As a "nonaligned" power, BEA can play Switzerland: It can attract ISVs, systems integrators, and corporate developers, who for a variety of reasons would rather not commit to an 800-pound gorilla. However, BEA's status is also attracting takeover offers, against which the company took a preemptive strike, putting in place a poison pill defense plan.

Well, all's fair in love and software. BEA remains one of the industry's most exciting companies, contributing a robust platform to support intelligent e-business processes. BEA has yet to reach its apex.


MAJOR MOVES IN 2001

· Released WebLogic Portal 4.0

· Promoted cofounder Alfred Chuang to CEO; Bill Coleman becomes chief strategy officer

· Announced more than 70 partners who support BEA's Portal Star Solution and Portlet Gallery

CLASSIC CUSTOMERS

· Amazon.com uses WebLogic Enterprise and Server as a component-based infrastructure to support millions of online transactions

· PSS World Medical Inc. built online commerce portals with the WebLogic E-Business Platform; the portals are intended to handle $100 million in sales







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