IBM unveils new OS for mainframes

Last month, IBM announced the first version of z/OS, a new 64-bit operating system and the successor to the OS/ 390 mainframe operating system, which can trace its history back to 1964. The new z/OS is designed for IBM's z900 mainframe server series, introduced in December.

Mainframes still retain a loyal following in certain markets such as banks and travel. But everyone else has largely switched to servers running Unix, Windows 2000 or, increasingly, Linux.

This trend is likely to continue with the forthcoming release of Microsoft's Windows 2000 Datacenter Server, which aims to give Windows the reliability and manageability features that have traditionally set mainframes apart.

Even IBM accepts this trend and its latest range of Intel-based servers, the eServer xSeries, have been designed with Windows 2000 Datacenter in mind. IBM now claims the high ground in this industry-standard server market as the fastest model in its xSeries range, the x430, is 36 per cent faster than the previous winner, a Compaq server, according to industry benchmarks. The eServer x430 has 64 Intel Pentium III Xeon processors running at 900MHz.

Heavy weather for Loudcloud

Loudcloud is under a cloud. The latest brainchild of Marc Andreessen, co-founder of Netscape, has seen its share price slump since floating on Nasdaq last month. Analysts hoped Loudcloud would buck the soft IPO market but investors had a strong feeling of deja vu when they read the latest business plan.

Loudcloud helps companies cut costs by automating the tasks involved in maintaining websites. As such, its business model is closer to that of a traditional IT outsourcer rather than a dotcom. However, the company is still in start-up phase and is unlikely to make a profit before 2004.

At one stage, Loudcloud's share price had crashed more than 50 per cent below its IPO price of $6. Last week, it was trading just above $5.

Fewer hands needed at Palm

Times are indeed hard if Palm has to cut staff. Palm's handheld PDAs have become the indispensable gadget for Silicon Valley executives, as well as lesser mortals. The company announced third-quarter revenue of almost $471m, a rise of 73 per cent over the year-earlier period.

But Palm warned that demand for its products had recently fallen due to the uncertain economic outlook and it would have to cut costs and 250 staff. Palm's shares crashed 43 per cent the day of the announcement.

Bull takes itself by the horns

Its bye, bye to Bull at least in its present form. The loss-making French IT company has decided to split itself in two with its flagship services business now called Integris. The rump hardware business will be rebranded as Bull Infrastructure and Systems. Services contributed more than half Bull's 2000 revenues of E3.2bn while hardware sales accounted for less than a third.

Earlier this year, Bull sold its small smart-card business to Schlumberger.

Novell in $266m consulting move

Novell, once a high-flier in networking software, has decided to radically change direction and move into IT consulting by buying troubled Cambridge Technology Partners for $266m in stock. "Poor fit, poorer outlook," was the damning judgment of Giga Information Group, the industry analyst.

Cordless internet radio launched

What is claimed to be the world's first cordless internet radio, the H100 device from Ericsson (pictured above), utilises Bluetooth technology "and represents a revolutionary step in bringing internet audio wirelessly into the home". The unit, developed in partnership with the MTVi Group, allows access to thousands of internet radio stations - without the use of a personal computer.