Close
  • Latest News
  • Artificial Intelligence
  • Video
  • Big Data and Analytics
  • Cloud
  • Networking
  • Cybersecurity
  • Applications
  • IT Management
  • Storage
  • Sponsored
  • Mobile
  • Small Business
  • Development
  • Database
  • Servers
  • Android
  • Apple
  • Innovation
  • Blogs
  • PC Hardware
  • Reviews
  • Search Engines
  • Virtualization
Read Down
Sign in
Close
Welcome!Log into your account
Forgot your password?
Read Down
Password recovery
Recover your password
Close
Search
Logo
Logo
  • Latest News
  • Artificial Intelligence
  • Video
  • Big Data and Analytics
  • Cloud
  • Networking
  • Cybersecurity
  • Applications
  • IT Management
  • Storage
  • Sponsored
  • Mobile
  • Small Business
  • Development
  • Database
  • Servers
  • Android
  • Apple
  • Innovation
  • Blogs
  • PC Hardware
  • Reviews
  • Search Engines
  • Virtualization
More
    Home Applications
    • Applications
    • Development
    • Servers

    Dont Cry for Borlands Tools Business

    Written by

    John Pallatto
    Published February 8, 2006
    Share
    Facebook
    Twitter
    Linkedin

      eWEEK content and product recommendations are editorially independent. We may make money when you click on links to our partners. Learn More.

      There is no use in crying big crocodile tears about Borlands decision to sell off its integrated development environment tools in favor of new business strategy focused on software lifecycle management and testing.

      The cold, hard business facts are that if Borland wants to survive and keep growing it has to make this move, as unpalatable as it may appear.

      Its impossible to keep the IDE business going when the technology has become so commoditized that competitors are practically giving them away for free like matchbooks with a pack of cigarettes.

      Its plan to buy Segue Software makes sense even if it is accompanied by the more radical decision to get out of the development tools business.

      It doesnt matter anymore that Borland was once a innovator in the field of IDE technology that made life easier for coders to learn the arcane conventions and practices of programming in the C, C++ and Java languages.

      /zimages/5/28571.gifOpen source popularity forces Borland to retrench. Click here to read more.

      By now most programmers have a complete set of every IDE on the market. Or if they dont, they know they can find another one by just downloading it from the Web.

      Its also no use blaming Eclipse or the open-source software industry for distributing for nearly nothing the development tools and IDEs that Borland used to charge several hundred dollars for.

      That is just part of the natural process of commoditization that would have taken place, perhaps at a slower pace, whether or not Eclipse came into the market.

      The only interesting question at this point is whether Borland can find a company that is willing to pay as much as $100 million for its IDE products that were built with so much care, cash and brainpower over the past 10 years. Delphi, C++ Builder, C# Building, JBuilder, and Kylix have been valuable franchises.

      But their best revenue-generating years are behind them and it is questionable that they can be upgraded or extended in any way that will do more than let a new owner eke out a few more profitable years, like an oil company trying to coax the last few thousand barrels from a depleted well.

      The industry has already begun the speculation game of what current competitor might even be willing to pay Borland for its IDE products.

      BEA Systems quickly comes to mind as a likely candidate. Its in the same market and serves many of the same customers. A number of former Borland developers and executives have gone to work for BEA and vice versa.

      Then again, perhaps one of its competitors in the ALM (application lifecycle management) field, such a Serena Software or even Mercury Interactive would be willing to pick it up.

      Then again, OReilly Media, long a publisher of computer technology books and a sponsor of conferences on a variety of application development technologies, might consider adding the Borland IDEs to its product line.

      It would be a good addition to its core constituency and would allow the company to acquire a valuable new revenue stream.

      Next Page: Spinning out the tools.

      Spinning Out the Tools

      But more likely the best way to sustain the future of these products for the longest possible time is to simply spin out Borlands tools group and keep it in the hands of the people who have been most responsible to building and selling the products—some of whom have been working on them since their conception.

      That may be the move that Borlands CEO Tod Nielsen might favor, although it might not be the option that would deliver the most immediate value for shareholders.

      Whether such a venture makes sense depends on whether the prospective owners and managers are convinced there are good prospects for a sustainable revenue stream and even the potential for future growth.

      /zimages/5/28571.gifClick here to read more about Borland selling off its tools and acquiring Segue.

      Its most important that the Borland tools remain in the market in some fashion. They are too good and too valuable to just disappear all together. There has never been a good reason for any software technology to linger in the market if it isnt useful. A lot of technology has come and gone in the more than 20 years that Borland has been in the business.

      But the fact that it has maintained a lucrative business model for two decades based on selling application development is in itself a remarkable achievement.

      It survived, and even prospered, in the face of competition from Microsoft, which could always subsidize the development of its tools business with cash from its operating systems and applications businesses.

      Borland can also take pride in knowing that it was able to do this because frequently Borland tools were superior to Microsofts tools for Microsofts own programming environments. Its the key reason why Borland has survived all these years.

      Borlands decision to acquire Segue Software to focus on software testing and ALM is a bold one, considering how much competition there is in the market.

      It will be competing with the likes of IBM, Serena Software, Microsofts Visual Studio Team System, Compuware and Mercury Interactive. But that is nothing new; its been competing with all of these companies for years anyway.

      Its a logical progression from what the company has focused on since its founding. It also allows Borland to move into a space where there is still growth and high demand.

      While development tools have become commoditized, there is still massive demand for systems that let developers test and fix the applications they have already built.

      There is no indication that developers are going to become obsolete any time soon, even with the increasing use of modular, reusable code blocks to build applications.

      There is also no indication that developers are going to produce code that is any less bug-ridden than it was 20 years ago.

      John Pallatto is a veteran journalist in the field of enterprise software and Internet technology. He can be reached at john_pallatto@ziffdavis.com.

      /zimages/5/28571.gifCheck out eWEEK.coms for the latest news, reviews and analysis in programming environments and developer tools.

      John Pallatto
      John Pallatto
      John Pallatto has been editor in chief of QuinStreet Inc.'s eWEEK.com since October 2012. He has more than 40 years of experience as a professional journalist working at a daily newspaper and computer technology trade journals. He was an eWEEK managing editor from 2009 to 2012. From 2003 to 2007 he covered Enterprise Application Software for eWEEK. From June 2007 to 2008 he was eWEEK’s West Coast news editor. Pallatto was a member of the staff that launched PC Week in March 1984. From 1992 to 1996 he was PC Week’s West Coast Bureau chief. From 1996 to 1998 he was a senior editor with Ziff-Davis Internet Computing Magazine. From 2000 to 2002 Pallatto was West Coast bureau chief with Internet World Magazine. His professional journalism career started at the Hartford Courant daily newspaper where he worked from 1974 to 1983.

      Get the Free Newsletter!

      Subscribe to Daily Tech Insider for top news, trends & analysis

      Get the Free Newsletter!

      Subscribe to Daily Tech Insider for top news, trends & analysis

      MOST POPULAR ARTICLES

      Artificial Intelligence

      9 Best AI 3D Generators You Need...

      Sam Rinko - June 25, 2024 0
      AI 3D Generators are powerful tools for many different industries. Discover the best AI 3D Generators, and learn which is best for your specific use case.
      Read more
      Cloud

      RingCentral Expands Its Collaboration Platform

      Zeus Kerravala - November 22, 2023 0
      RingCentral adds AI-enabled contact center and hybrid event products to its suite of collaboration services.
      Read more
      Artificial Intelligence

      8 Best AI Data Analytics Software &...

      Aminu Abdullahi - January 18, 2024 0
      Learn the top AI data analytics software to use. Compare AI data analytics solutions & features to make the best choice for your business.
      Read more
      Latest News

      Zeus Kerravala on Networking: Multicloud, 5G, and...

      James Maguire - December 16, 2022 0
      I spoke with Zeus Kerravala, industry analyst at ZK Research, about the rapid changes in enterprise networking, as tech advances and digital transformation prompt...
      Read more
      Video

      Datadog President Amit Agarwal on Trends in...

      James Maguire - November 11, 2022 0
      I spoke with Amit Agarwal, President of Datadog, about infrastructure observability, from current trends to key challenges to the future of this rapidly growing...
      Read more
      Logo

      eWeek has the latest technology news and analysis, buying guides, and product reviews for IT professionals and technology buyers. The site’s focus is on innovative solutions and covering in-depth technical content. eWeek stays on the cutting edge of technology news and IT trends through interviews and expert analysis. Gain insight from top innovators and thought leaders in the fields of IT, business, enterprise software, startups, and more.

      Facebook
      Linkedin
      RSS
      Twitter
      Youtube

      Advertisers

      Advertise with TechnologyAdvice on eWeek and our other IT-focused platforms.

      Advertise with Us

      Menu

      • About eWeek
      • Subscribe to our Newsletter
      • Latest News

      Our Brands

      • Privacy Policy
      • Terms
      • About
      • Contact
      • Advertise
      • Sitemap
      • California – Do Not Sell My Information

      Property of TechnologyAdvice.
      © 2024 TechnologyAdvice. All Rights Reserved

      Advertiser Disclosure: Some of the products that appear on this site are from companies from which TechnologyAdvice receives compensation. This compensation may impact how and where products appear on this site including, for example, the order in which they appear. TechnologyAdvice does not include all companies or all types of products available in the marketplace.

      ×