A Workable Technology Strategy For Enterprise Systems Group Essay

1162 Words Aug 13th, 2015 5 Pages
Case Summary
Jim Davies needs to recommend a workable technology strategy for Enterprise Systems Group (ESG)’s mission critical enterprise computer systems, comprising both PC-based and proprietary servers and workstations. ESG provides mission critical applications to its client’s web-based IT infrastructures and business processes. This is the high-end of the industry, dominated by mainframes (for large corporations), internet servers, workstations and supercomputers (Verlinden & Christensen, 1999, p. 1).
The important question is to determine whether HP should continue investing its resources in extending the capability of its UNIX-based Performance Architecture built on the proprietary HP RISC microprocessor or whether the company should re-invest the same resources into the development of servers and workstations based on the Merced chip (and architecture, IA-64). HP co-developed IA-64 and Merced with Intel, believed to be a growth engine for future computer products and had committed considerable resources. However, it is not clear when the company should switch to IA-64. Further, Merced is facing delays, which threatens the marketability of first generation IA-64 since its second-generation version is to be launched in a year’s time.
Further, competitors (Solaris and Sun) are moving to curve out the server and workstation market by luring suppliers (RISC/UNIX computers) into using the UNIX-based operating system. Important software suppliers such as Oracle and SAP,…

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