Back to Command and Control: Almost Everyone's Happy about Network Computing, Especially the Tech Manager
Órla O’Sullivan · ABA banking journal · 1997
ALMOST EVERYONE'S HAPPY ABOUT NETWORK COMPUTING, ESPECIALLY THE TECH MANAGER If you've overdosed on coffee terminology and still don't know why you should care about Java or network computing in general, it might focus your mind to know that Wells Fargo has installed 28,000 network computers. Or that Bank of America is rolling out network computers, state by state, at rate of 500 month. That's the word from sources involved in the projects although, officially, the banks are characteristically tight-lipped about their deployments. spokesperson for Wells Fargo confirmed that it has installed type of 'network computer, but would not comment on the scope of the project. Wells reportedly has culminated three-year roll-out. BofA did not respond to inquiries, but the company reportedly is sweeping away both obsolete personal computers and dumb terminals and, at press time, had installed 3,000 network computers in the field. According to vendors in the evolving network computer (NC) market, majority of their bank clients are investigating NCs, but have imposed nondisclosure agreements on the vendors. IBM, for instance, says the IBM Network Station, the it announced late last year, is being tested at several of the top five banks. Jim Gant, vice-president of marketing in IBM's computing division, says, We did study with one bank that has 20,000 desktops installed today and they reckon 80% are candidates for NCs. appeal of network computer is that it's much easier and cheaper to maintain than personal computer as well as cheaper to buy initially. Basically, that's because centralized servers are used to load and subsequently revise software on all computers in the network at one go, and end users have no discretion to deviate from the standard. They lack hard drives onto which they might load incompatible versions of operating systems or programs and disk drives through which they might introduce viruses. Scott McNealy, chief executive of Sun Microsystems, recently warned banks, A floppy is great way for them [employees] to back up absolutely super critical information and allow it to get into the wrong hands. That is, if employees aren't simply playing games or surfing the Web for fun, McNealy told bankers. Basically, users make do with whatever the server gives them. Wait minute, don't NCs sound like dumb terminals? Indeed, an IBM executive notes a pendulum swing back toward the mainframe, from client(read PC)/server, while Microsoft Corp.'s marketing manager for financial services dubs NCs as retrograde. Speaking in an interview, Microsoft's Mike Dusche says, We just don't think people want to go back to dumb terminals. Nonetheless, virtually everyone's agreed that system administration can be made radically better and, bar Microsoft, they think NCs are the way to do it. Dusche, however, says, The PC, not the NC, will win. Various independent researchers predict huge savings from network computing. NCs are running at around $700 ($1,000 when configured for business), compared with likely $3,000 for business PC installation. More significantly, the cost of ownership--which the Gartner Group estimates is $11,900 annually for PC--is variously expected to fall by 50% to 75%. And, in downsizing world, IBM's weighs in at noteworthy two-and-a-half pounds. seven-year niche To most, the represents synthesis of the best of the current technology and the earlier mainframe/dumb terminal technology. At the launch of the NC earlier this year (servers to support Sun's network computers), Oracle Corp. said it was also ushering in the next computing paradigm. Announcing the end of the industry's latest dalliance, Mike Jarvis, vice-president of server technology, said, client/server was the seven-year niche. Now that true sense of the cost of networks is emerging, many companies appreciate the efficiency of centralized system administration and the control it gives them. …