Posts Tagged ‘LinuxONE’

IBM Spotlights Blockchain and Hyperledger Fabric at IBM InterCONNECT

March 23, 2017

IBM announced earlier this week Hyperledger Fabric v 1.0 beta, with security for regulated industries, governance tools, and over 1,000 transactions per second possible.  This is represents the first enterprise-ready blockchain service based on the Linux Foundation’s open source Hyperledger Fabric version 1.0. The service enables developers to quickly build and host security-rich production blockchain networks on the IBM Cloud and underpinned by IBM LinuxONE.

Maersk and IBM transform global trade with blockchain

LinuxONE, a dedicated z-based Linux system with as much security as any commercial platform is likely to have, should play a central role in blockchain networks. The machine also delivers all the itys the z is renowned for: scalability, availability, flexibility, manageability, and more.

The Linux Foundation’s open source Hyperledger Fabric v1.0 is being developed by members of the Hyperledger consortium alongside other open source blockchain technologies. The Hyperledger consortium’s Technical Steering Committee recently promoted Fabric from incubator to active state, and it is expected to be available in the coming weeks. It is designed to provide a framework for enterprise-grade blockchain networks that can transact at over 1,000 transactions per second.

Safety and security is everything with blockchain, which means blockchain networks are only as safe as the infrastructures on which they reside, hence the underpinning on LinuxONE. In addition, IBM’s High Security Business Network brings an extremely secure Linux infrastructure that, according to IBM, integrates security from the hardware up through the software stack, specifically designed for enterprise blockchains by providing:

  • Protection from insider attacks – helps safeguard entry points on the network and fight insider threats from anyone with system administrator credentials
  • The industry’s highest certified level of isolation for a commercial system- Evaluation Assurance Level certification of EAL5+ is critical in highly regulated industries such as government, financial services and healthcare, to prevent the leakage of information from one party’s environment to another
  • Secure Service Containers – to help protect code throughout the blockchain application and effectively encapsulating the blockchain into a virtual appliance, denying access even to privileged users
  • Tamper-responsive hardware security modules –to protect encrypted data for storage of cryptographic keys. These modules are certified to FIPS 140-2 Level 4, the highest level of security certification available for cryptographic modules
  • A highly auditable operating environment – comprehensive , immutable log data supports forensics, audit, and compliance

IBM also announced today the first commercially available blockchain governance tools, and new open-source developer tools that automate the steps it takes to build with the Hyperledger Fabric, reportedly speeding the process from weeks to days.

The new blockchain governance tools also make it easy to set up a blockchain network and assign roles and levels of visibility from a single dashboard. They help network members set rules, manage membership, and enforce network compliance once the network is up and running.

This seems straightforward enough. Once setup is initiated, members can determine the rules of the blockchain and share consent when new members request to join the network. In addition, the deployment tool assigns each network a Network Trust Rating of 1 to 100. New network members can view this before joining and determine whether or not they can trust the network enough to participate. Organizations can also take steps to improve their Trust Ratings before moving into production.

To make it easier for developers to translate business needs from concept to actual code, IBM Blockchain includes a new open-source developer tools for the Hyperledger Fabric called Fabric Composer. Fabric Composer promises to help users model business networks, create APIs that integrate with the blockchain network and existing systems of record, and quickly build a user interface. Fabric Composer also automates tasks that traditionally could take weeks, allowing developers to complete them in minutes instead.

IBM Blockchain for Hyperledger Fabric v1.0 is now available through a beta program on IBM Bluemix. Hyperledger Fabric also is available on Docker Hub as an IBM-certified image available for download at no cost.

At this point, IBM has over 25 publicly named Blockchain projects underway. They address everything from carbon asset management to consumer digital ID, post trade derivatives processing, last mile shipping, supply chain food safety, provenance, securities lending, and more seemingly are being added nearly weekly.

DancingDinosaur is Alan Radding, a veteran information technology analyst, writer, and ghost-writer. Please follow DancingDinosaur on Twitter, @mainframeblog. See more of his IT writing at technologywriter.com and here.

IBM and Northern Trust Collaborate on Blockchain for Private Equity Markets

March 3, 2017

At a briefing for IT analysts, IBM laid out how it sees blockchain working in practice. Surprisingly, the platform for the Hyperledger effort was not x86 but LinuxONE due to its inherent security.  As the initiative grows the z-based LinuxONE can also deliver the performance, scalability, and reliability the effort eventually will need too.

IBM describes its collaboration with Northern Trust and other key stakeholders as the first commercial deployment of blockchain technology for the private equity market. Although as the private equity market stands now the infrastructure supporting private equity has seen little innovation in recent years even as investors seek greater transparency, security, and efficiency. Enter the open LinuxONE platform, the Hyperledger fabric, and Unigestion, a Geneva, Switzerland-based asset manager with $20 billion in assets under management.

IBM Chairman and CEO Ginni Rometty discusses how cognitive technology and innovations such as Watson and blockchain have the potential to radically transform the financial services industry at Sibos 2016 in Geneva, Switzerland on Weds., September 28, 2016. (Feature Photo Service)

IBM Chairman and CEO Ginni Rometty discusses  blockchain at Sibos

The new initiative, as IBM explains it, promises a new and comprehensive way to access and visualize data.  Blockchain captures and stores information about every transaction and investment as meta data. It also captures details about relevant documents and commitments. Hyperledger itself is a logging tool that creates an immutable record.

The Northern Trust effort connects business logic, legacy technology, and blockchain technology using a combination of Java/JavaScript and IBMs blockchain product. It runs on IBM Bluemix (cloud) using IBM’s Blockchain High Security Business Network. It also relies on key management to ensure record/data isolation and enforce geographic jurisdiction. In the end it facilitates managing the fund lifecycle more efficiently than the previous primarily paper-based process.

More interesting to DancingDinosaur is the selection of the z through LinuxONE and blockchain’s use of storage.  To begin with blockchain is not really a database. It is more like a log file, but even that is not quite accurate because “it is a database you play as a team sport,” explained Arijit Das, Senior Vice President, FinTech Solutions, at the analyst briefing. That means you don’t perform any of the usual database functions; no deletes or updates, just appends.

Since blockchain is an open technology, you actually could do it on any x86 Linux machine, but DancingDinosaur readers probably wouldn’t want to do that. Blockchain essentially ends up being a distributed group activity and LinuxONE is unusually well optimized for the necessary security. It also brings scalability, reliability, and high performance along with the rock-solid security of the latest mainframe. In general LinuxONE can handle 8000 virtual servers in a single system and tens of thousands of containers. Try doing that with an x86 machine or even dozens.   You can read more on LinuxONE that DancingDinosaur wrote when it was introduced here and here.

But you won’t need near that scalability with the private equity application, at least at first. Blockchain gets more interesting when you think about storage. Blockchain has the potential to generate massive numbers of files fast, but that will only happen when it is part of, say, a supply chain with hundreds, or more likely, thousands of participating nodes on the chain and those nodes are very active. More likely for private equity trading, certainly at the start, blockchain will handle gigabytes of data and maybe only megabytes at first. This is not going to generate much revenue for IBM storage. A little bit of flash could probably do the trick.

Today, current legal and administrative processes that support private equity are time consuming and expensive, according to Peter Cherecwich, president of Corporate & Institutional Services at Northern Trust. They lack transparency while inefficient market practices leads to lengthy, duplicative and fragmented investment and administration processes. Northern Trust’s solution based on blockchain and Hyperledger, however, promises to deliver a significantly enhanced and efficient approach to private equity administration.

Just don’t expect to see overnight results. In fact, you can expect more inefficiency since the new blockchain/Hyperledger-based system is running in parallel with the disjointed manual processes. Previous legacy systems remain; they are not yet being replaced. Still, IBM insists that blockchain is an ideal technology to bring innovation to the private equity market, allowing Northern Trust to improve traditional business processes at each stage to deliver greater transparency and efficiency. Guess we’ll just have to wait and watch.

DancingDinosaur is Alan Radding, a veteran information technology analyst, writer, and ghost-writer. Please follow DancingDinosaur on Twitter, @mainframeblog. See more of his IT writing at technologywriter.com and here.

 

IBM Cheers Beating Estimates But Losing Streak Continues

January 26, 2017

It has been 19 quarters since IBM reported positive revenue in its quarterly reports but the noises coming out of IBM with the latest 4Q16 and full year 2016 financials are upbeat due to the company beating analyst consensus revenue estimates and its strategic initiatives are starting to generate serious revenue.   Although systems revenues were down again (12%) the accountants at least had something positive to say about the z: “gross profit margins improved driven by z Systems performance.”

ezsource-dashboard

EZSource: Dashboard visualizes changes to mainframe code

IBM doesn’t detail which z models were contributing but you can guess they would be the LinuxONE models (Emperor and Rock Hopper) and the z13. DancingDinosaur expects z performance to improve significantly in 2017 when a new z, which had been heavily hinted in the 3Q2016 results reported here, is expected to ship.

With it latest financials IBM is outright crowing about its strategic initiatives: Fourth-quarter cloud revenues increased 33 percent.  The annual exit run rate for cloud as-a-service revenue increased to $8.6 billion from $5.3 billion at year-end 2015.  Revenues from analytics increased 9 percent.  Revenues from mobile increased 16 percent and revenues from security increased 7 percent.

For the full year, revenues from strategic imperatives increased 13 percent.  Cloud revenues increased 35 percent to $13.7 billion.  The annual exit run rate for cloud as-a-service revenue increased 61 percent year to year.  Revenues from analytics increased 9 percent.  Revenues from mobile increased 34 percent and from security increased 13 percent.

Of course, cognitive computing is IBM’s strategic imperative darling for the moment, followed by blockchain. Cognitive, for which IBM appears to use an expansive definition, is primarily a cloud play as far as IBM is concerned.  There is, however, a specific role for the z, which DancingDinosaur will get into in a later post. Blockchain, on the other hand, should be a natural z play.  It is, essentially, extremely secure OLTP on steroids.  As blockchain scales up it is a natural to drive z workloads.

As far as IBM’s financials go the strategic imperatives indeed are doing well. Other business units, however, continue to struggle.  For instance:

  • Global Business Services (includes consulting, global process services and application management) — revenues of $4.1 billion, down 4.1 percent.
  • Systems (includes systems hardware and operating systems software), remember, this is where z and Power platforms reside — revenues of $2.5 billion, down 12.5 percent. But as noted above, gross profit margins improved, driven by z Systems performance.
  • Global Financing (includes financing and used equipment sales) — revenues of $447 million, down 1.5 percent.

A couple of decades ago, when this blogger first started covering IBM and the mainframe as a freelancer writing for any technology publication that would pay real money IBM was struggling (if $100 billion behemoths can be thought to be struggling). The buzz among the financial analysts who followed the company was that IBM should be broken up into its parts and sold off.  IBM didn’t take that advice, at least not exactly, but it did begin a rebound that included laying off tons of people and the sale of some assets. Since then it invested heavily in things like Linux on z and open systems.

In December IBM SVP Tom Rosamilia talked about new investments in z/OS and z software like DB2 and CICS and IMS, and the best your blogger can tell he is still there. (Rumors suggest Rosamilia is angling for Rometty’s job in two years.)  If the new z does actually arrive in 2017 and key z software is refreshed then z shops can rest easy, at least for another few quarters.  But whatever happens, you can follow it here.

DancingDinosaur is Alan Radding, a veteran information technology analyst, writer, and ghost-writer. Please follow DancingDinosaur on Twitter, @mainframeblog. See more of his IT writing at technologywriter.com and here.

 

Happy Holidays and Best Wishes for 2017

December 21, 2016

DancingDinosaur is taking the rest of the year off. The next posting will be Jan. 5. In the meantime, best wishes for delightful holidays and a peaceful and prosperous New Year. Good time to read a new book (below).

iot-book-cover-2

Until then, based on comments IBM has hinted at we can expect a new z in 2017, might be the z14 as some suggest or something else. Expect it to be optimized for cognitive computing and the other strategic imperatives IBM has been touting for the past two years. But it also will need to satisfy the installed mainframe data center base so expect more I/O, faster performance, and improved price/performance.

Was nice to see LinuxONE come into its own late this year.  Expect to see much more from this z-based machine in 2017. Probably a new LinuxONE machine in the New Year as well.

And we can expect the new POWER9 this year.  That should perk things up a bit, but realistically, it appears IBM considers platform a dirty word. They really want to be a cloud player doing cognitive computing across a slew of vertical industries.

FYI, an important new book on IoT, Building the Internet of Things, by Maciej Kranz was published late in Nov. (See graphic above. It hit third place on the NY Times non-fiction best seller list in mid December. Not bad for a business tech book. You can find it on Amazon.com here. Kranz is a Cisco executive so if you have a relationship with a Cisco rep see if they’ll give you a free copy. Full disclosure: your blogger was the ghostwriter for the book and was thanked in the acknowledgements at the end of the book.  Like movies, Kranz and I have already started on the sequel, The Co-Economy (although the title may change). The new book is briefly described in the IoT book (pg. 161).

BTW, if you’ve always wanted to author a book but didn’t know how to start or finish or proceed, feel welcome to contact me through Technologywriter.com at the bottom of this post. We’ll figure out how to get it done.

Again, best wishes for the holidays. See you in the New Year.

DancingDinosaur is Alan Radding, a veteran information technology analyst, writer, and ghost-writer. Please follow DancingDinosaur on Twitter, @mainframeblog. See more of his IT writing at technologywriter.com and here

IBM Demonstrates Blockchain Progress and Clients

December 9, 2016

IBM must have laid off its lawyers or something since never before has the company seemed so ready to reveal clients by name and the projects they’re engaged in.  That has been going on for months and recently it has accelerated.  Credit IBM’s eagerness to get blockchain established fast and show progress with the open community HyperLedger Project.

walmart-ibm-and-tsinghua-university

Exploring the use of blockchain to bring safer food

Since early in 2016 IBM announced almost 20 companies and projects involving blockchain. A bunch are financial services as you would expect. A couple of government entities are included. And then, there is Walmart, a household name if ever there was one.  Walmart is turning to blockchain to manage its supply chain, particularly in regard to food safety and food provenance (tracking where the food came from and its path from source to shelf to the customer).

Here’s how it works: With blockchain, food products can be digitally tracked from an ecosystem of suppliers to store shelves and ultimately to consumers. When applied to the food supply chain, digital product information such as farm origination details, batch numbers, factory and processing data, expiration dates, storage temperatures and shipping detail are digitally connected to food items and the information is entered into the blockchain along every step of the process. Each piece of information provides critical data points that could potentially reveal food safety issues with the product. The information captured and if there is a problem it becomes easy to track down where the process went wrong.

Furthermore, the record created by the blockchain can also help retailers better manage the shelf-life of products in individual stores, and further strengthen safeguards related to food authenticity. In short, Walmart gains better visibility into the supply chain, logistics and food safety as they create a new model for food traceability, supply chain transparency, and auditability using IBM Blockchain based on the open source Linux Foundation Hyperledger Project fabric.

Walmart adds: “As advocates of promoting greater transparency in the food system for our customers, we look forward to working with IBM and Tsinghua University to explore how this technology might be used as a more effective food traceability solution,” said Frank Yiannas, Vice President, Food Safety, Walmart.  If successful, it might get rolled out to North America and the rest of the world.

IBM is not expecting blockchain to emerge full blown overnight. As it noted in its announcement on Wed. blockchain has the potential to transform the way industries conduct business transactions. This will require a complete ecosystem of industry players working together, allowing businesses to benefit from the network effect of blockchain. To that end IBM introduced a blockchain ecosystem to help accelerate the creation of blockchain networks.

And Walmart isn’t the only early adopter of the HyperLedger and blockchain.  The financial services industry is a primary target. For example, the Bank of Tokyo-Mitsubishi UFJ (BTMU) and IBM agreed to examine the design, management and execution of contracts among business partners using blockchain. This is one of the first projects built on the Hyperledger Project fabric, an open-source blockchain platform, to use blockchain for real-life contract management on the IBM Cloud.  IBM and BTMU have built a prototype of smart contracts on a blockchain to improve the efficiency and accountability of service level agreements in multi-party business interactions.

Another financial services player, the CLS Group (CLS), a provider of risk management and operational services for the global foreign exchange (FX) market, announced its intent to release a payment netting service, CLS Netting will use blockchain for buy-side and sell-side institutions’ FX trades that are settled outside the CLS settlement service. The system will have a Hyperledger-based platform, which delivers a standardized suite of post-trade and risk mitigation services for the entire FX market.

To make blockchain easy and secure, IBM has set up a LinuxONE z System as a cloud service for organizations requiring a secure environment for blockchain networks. IBM is targeting this service to organizations in regulated industries. The service will allow companies to test and run blockchain projects that handle private data. The secure blockchain cloud environment is designed for organizations that need to prove blockchain is safe for themselves and for their trading partners, whether customers or other parties.

As blockchain gains traction and organizations begin to evaluate cloud-based production environments for their first blockchain projects, they are exploring ways to maximize the security and compliance of the technology for business-critical applications. Security is critical not just within the blockchain itself but with all the technology touching the blockchain ledger.

With advanced features that help protect data and ensure the integrity of the overall network, LinuxONE is designed to meet the stringent security requirements of the financial, health care, and government sectors while helping foster compliance. As blockchain ramps up it potentially can drive massive numbers of transactions to the z. Maybe even triggering another discount as with mobile transactions.

DancingDinosaur is Alan Radding, a veteran information technology analyst, writer, and ghost-writer. Please follow DancingDinosaur on Twitter, @mainframeblog. See more of his IT writing at technologywriter.com and here.

 

IBM 3Q16 Results Telegraph a New z System in 2017

October 27, 2016

DancingDinosaur usually doesn’t like to read too much into the statements of IBM suits at financial briefings. This has been especially true since IBM introduced a new presentation format this year to downplay its platform business and emphasize its strategic imperatives. (Disclaimer: DancingDinosaur is NOT a financial analyst but a technology analyst.)

But this quarter the CFO said flat out: “Our z Systems results reflect a product cycle dynamic, seven quarters into the z13 cycle; revenue was down while margins continue to expand. We continue to add new clients to the platform and we are introducing new technologies like block chain. We announced new services to make it easier to build and test block chain networks in a secure environment as we build our block chain platform it’s been engineered to run on multiple platforms but is optimized for scale, security and resilience on both the IBM mainframe and the IBM cloud.”

linuxone-emperorLinuxONE Emperor

If you parse the first sentence–reflect a product cycle dynamic–he is not too subtly hinting that IBM needs a z System refresh if they want to stop the financial losses with z. You don’t have to be a genius to expect a new z, probably the z14, in 2017. Pictured above is the LinuxONE Emperor, a z optimized to run Linux. The same suit said “We’ve been shifting our platform to address Linux, and in the third quarter Linux grew at a double digit rate, faster than the market.” So based on that we can probably guess that the z14 (or whatever it will be called) will run z/OS, followed shortly by a LinuxONE version to further expand the z System’s Linux footprint.

Timothy Prickett Morgan picked that up too and more. He expects a z14 processor complex will be announced next year around the same time that the Power9 chip ships. In both cases, Power and z customers who can wait will wait, or, if they are smart, will demand very steep discounts on current Power8 hardware to make up for the price/performance improvements that are sure to accompany the upcoming Power9 and z machines.

When it comes to revenue 3Q16 was at best flat, but actually was down again overall. The bright spot again was IBM’s strategic imperatives. As the suit stated: in total, we continue to deliver double-digit revenue growth in our strategic imperatives led by our cloud business. Specifically, cognitive solutions were up 5% and, within that, solution software was up 8%.

Overall, growth in IBM’s strategic imperatives rose 15%. Over the last 12 months, strategic imperatives delivered nearly $32 billion in revenue and now represent 40% of IBM. The suit also emphasized strong performance in IBM’s cloud offerings which increased over 40%, led by the company’s as-a-service offerings. IBM ended the third quarter with an as-a-service run rate of $7.5 billion, up from $6.7 billion last quarter. Most of that was attributed to organic growth, not acquisitions. Also strong was IBM’s revenue performance in security and mobile. In addition, the company experienced growth in its analytic offerings, up 14% this quarter with contributions from the core analytics platform, especially the Watson platform, Watson Health, and Watson IoT.

IBM apparently is convinced that cognitive computing, defined as using data and adding intelligence into products and services to help companies make better decisions, is the wave of the future. As the company sees it, real value lies in providing cognitive capabilities via the IBM cloud. A critical element of its strategy is IBM’s industry focus. Initially industry platforms will address two substantial opportunity areas, financial services and block chain solutions. You can probably add healthcare too.

Blockchain may emerge as the sleeper, although DancingDinosaur has long been convinced that blockchain is ideal for z shops—the z already handles the transactions and delivers the reliability, scalability, availability, and security to do it right.  As IBM puts it, “we believe block chain has the potential to do for trusted transactions what the Internet did for information.” Specifically, IBM is building a complete block chain platform and is now working with over 300 clients to pioneer block chain for business, including CLS, which settles $5 trillion per day in the currency markets, to implement a distributed ledger in support of its payment netting service, and Bank of Tokyo Mitsubishi, for smart contracts to manage service level agreements and automate multi party transactions.

Says Morgan: “IBM is very enthusiastic about using Blockchain in commercial transaction processing settings, and has 40 clients testing it out on mainframes, but this workload will take a long time to grow. Presumably, IBM will also push Blockchain on Power as well.”  Morgan may be right about blockchain coming to Power, but it is a natural for the z right now, whether as a new z14 or a new z-based LinuxONE machine.

DancingDinosaur is Alan Radding, a veteran information technology analyst, writer, and ghostwriter. Please follow DancingDinosaur on Twitter, @mainframeblog. See more of his IT writing at technologywriter.com and here.

 

Put your z System at the Center of Blockchain

October 6, 2016

The zSystem has been a leading platform for the world’s top banks for decades and with blockchain the z could capture even more banking and financial services data centers. Two recent IBM Institute for Business Value (IBV) studies show commercial blockchain solutions are rapidly being adopted throughout banking and financial markets dramatically faster than initially expected, according to an IBM announcement late in Sept.  Of course, not every blockchain deployment runs on z but more should be.

blockchainexplained-willian-mougayer

Copyright William Mougayer

According to an IBV study, more than 70 percent of early adopters are prioritizing blockchain efforts in order to break down current barriers to creating new business models and reaching new markets. IBV analyst report the respondents are better positioned to defend themselves against competitors, including those untraditional disruptors like non-bank startups. The majority of respondents are focusing their blockchain efforts on four areas: clearing and settlement, wholesale payments, equity and debt issuance, and reference data.

But blockchain isn’t just a financial services story. Mougayer identifies government services, healthcare, energy, supply chains, and world trade as blockchain candidates. IoT will also be an important area for blockchain, according to a new book on IoT by Maciej Kranz, an IoT pioneer.

As Kranz explains: blockchain has emerged as a technology that allows a secure exchange of value between entities in a distributed fashion. The technology first appeared on most IT radar screens a few years ago in the form of Bitcoin, a virtual currency that relies on blockchain technology to ensure its security and integrity. Although Bitcoin’s future is still uncertain, blockchain is a completely different story.

Blockchain is attracting considerable attention for its ability to ensure the integrity of transactions over the network between any entities. Automobile companies are considering the technology to authenticate connected vehicles in the vehicle-to-vehicle (V2V) environment, notes Kranz. Still others are looking at blockchain to trace the sources of goods, increase food safety, create smart contracts, perform audits, and do much more. Blockchain also provides a natural complement to IoT security in a wide variety of use cases.

The z and especially the newest generation of z Systems is ideal for blockchain work. Zero downtime, industry-leading security, massive I/O, flexibility, high performance at scale, and competitive price/performance along with its current presence in the middle of most transactions, especially financial transactions, makes z a natural for blockchain.

A key driver for blockchain, especially in the banking and financial services segment is the Linux Foundation’s HyperLedger project. This entails a collaborative, open source effort to establish an open blockchain platform that will satisfy a variety of use cases across multiple industries to streamline business processes. Through a cross-industry, open standard for distributed ledgers, virtually any digital exchange of value, such as real estate contracts, energy trades, even marriage licenses can securely and cost-effectively be tracked and traded.

According to Linux Foundation documents, “the Hyperledger Project has ramped up incredibly fast, a testament to how much pent-up interest, potential, and enterprise demand there is for a cross-industry open standard for distributed ledgers.” Linux Foundation members of the Hyperledger Project are moving blockchain technology forward at remarkable speed. IBM has been an early and sizeable contributor of code to the project. It contributed 44,000 lines of code as a founding member.

That it is catching on so quickly in the banking and financial services sector shouldn’t be a surprise either.  What blockchain enables is highly secure and unalterable distributed transaction tracking at every stage of the transaction.  Said Likhit Wagle, Global Industry General Manager, IBM Banking and Financial Markets, when ticking off blockchain advantages: To start, first movers are setting business standards and creating new models that will be used by future adopters of blockchain technology. We’re also finding that these early adopters are better able to anticipate disruption and fight off new competitors along the way.

It is the larger banks leading the charge to embrace blockchain technology with early adopters twice as likely to be large institutions with more than a hundred thousand employees. Additionally, 77 percent of these larger banks are retail banking organizations.

As the IBV surveys found, trailblazers expect the benefits from blockchain technology to impact several business areas, including reference data (83 percent), retail payments (80 percent) and consumer lending (79 percent). When asked which blockchain-based new business models could emerge, 80 percent of banks surveyed identified trade finance, corporate lending, and reference data as having the greatest potential.

IBM is making it easy to tap blockchain by making it available through Docker containers, as a signed and certified distribution of IBM’s code submission to Hyperledger, and through Bluemix services. As noted above, blockchain is a natural fit for the z and LinuxOne. To that end, Bluemix Blockchain Services and a fully integrated DevOps Tool is System z- and IoT-enabled.

DancingDinosaur is Alan Radding, a veteran information technology analyst, writer, and ghostwriter. Please follow DancingDinosaur on Twitter, @mainframeblog. See more of his IT writing at technologywriter.com and here.

 

IBM z System and Power Fuel Hybrid Cloud

September 30, 2016

DancingDinosaur has been cheerleading the z as a cloud player since 2011 and even before, mainly as an ideal vehicle for private clouds. So it should be no surprise to readers that last week IBM announced z and Power cloud-ready systems, services, and solutions for the hybrid cloud environment. My only question: What took them so long?

hybrid-cloud-systems

Power and z accelerate transformation to hybrid cloud

The world, indeed, is changing fast, and IT data centers especially have to scramble to keep up as they try to blend public cloud, private cloud, and traditional IT data centers and integrate it all seamlessly. “Today’s business environment is very dynamic and filled with disruption. A hybrid cloud model enables clients to continuously adapt while also optimizing on-premises investments and delivering the flexibility clients need across IBM Systems and the cloud,” according to Tom Rosamilia, senior vice president, IBM Systems.

At the heart of the IBM’s systems for what it calls the hybrid cloud era are three technologies we should be generally already familiar:

  • z Systems for cloud. IBM z Systems Operational Insights is a new SaaS-based offering that provides analytic insights on cloud operations for new levels of efficiency and application performance. It allows users to make better business and application decisions based on trends and embedded expertise on performance data through a GUI dashboard. This accompanies IBM OMEGAMON Application Performance Management, which provides quick identification of problem components through end-to-end visibility for clients’ hybrid workloads that include z Systems applications.  In addition, the newly available IBM Common Data Provider enables z Systems operational data to be efficiently consumed in near real time by the clients’ cloud or local enterprise operational analytics platform. An OK start, but you can quibble with OMEGAMON as IBM’s performance analysis and management choice. At its core, this is old technology. DancingDinosaur would prefer, say, Watson.
  • Power Systems for cloud. With integrated OpenStack-based cloud management and elastic consumption models, according to IBM, these new enterprise-class IBM Power Systems enable organizations to transform their IT infrastructure to a local cloud for AIX, IBM i and Linux workloads and extend them with rapid access to compute services in the IBM Cloud. DancingDinosaur covered the new LC here.
  • IBM Spectrum Copy Data Management and Protect. This brings a new solution that drives operational and development agility and efficiency across new and traditional applications that allow detailed, easy management of data copies.  Additionally, IBM Spectrum Protect has expanded its extensive hybrid cloud solution integration with cloud object storage options for use in hybrid cloud deployments.

About the only thing missing above is LinuxONE but that will come up below when IBM gets to openness, which is critical to hybrid clouds. In its announcement, IBM also promised a series of new and expanded collaborations with IBM Systems for hybrid cloud environments, including:

  • Canonical: Canonical and IBM are extending their ongoing alliance to make Ubuntu OpenStack available today on LinuxONE, z Systems, Power Systems, and OpenPOWER-based systems, including the new line of LC servers. This enables organizations to leverage Canonical’s portfolio across the three platforms with simplified and automated OpenStack management.
  • Hortonworks: IBM and Hortonworks,  a Hadoop platform, are jointly entering the marketplace to make Hortonworks Hadoop distribution available on POWER. Whoopee, Hadoop already runs native on z.
  • Mirantis: Mirantis and IBM are collaborating to develop reference architectures enabling Mirantis OpenStack to manage compute nodes hosted on IBM Power Systems servers, and to validate a host of core applications to run its OpenStack private cloud. With this integration, Mirantis will now bring its OpenStack based private cloud management to the POWER platform. This enables organizations to leverage the efficiency of IBM Power Systems for data-driven workloads in a seamless and compatible way for their data center through Mirantis’ OpenStack cloud management.
  • NGINX: NGINX’s application delivery platform now supports servers based on IBM’s POWER architecture with the latest release of its commercial load balancer and web accelerator software, NGINX Plus R10. The combination of NGINX Plus and POWER brings new agility to enterprises, allowing them to scale their infrastructure and application delivery solutions across any environment – public, private, and hybrid cloud; containers; and bare metal – providing a consistent user experience.
  • Red Hat: Red Hat and IBM are expanding their long-standing alliance to better help organizations embrace hybrid cloud. Through joint engineering and deeper product collaboration, the two companies plan to deliver solutions built on key components of Red Hat’s portfolio of open source products, including Red Hat Enterprise Linux, (RHEL)., By the way, RHEL is the #2 Linux distro on the z. RHEL also enables IBM Power Systems as a featured component of Red Hat’s hybrid cloud strategy spanning platform infrastructure located both on and off an enterprise’s premises.

There is enough openness to enable you to do what you need so DancingDinosaur has no real complaints with IBM’s choices above. Just wish it was more z- and LinuxONE-centric.

DancingDinosaur is Alan Radding, a veteran information technology analyst and writer and mainframe bigot. Please follow DancingDinosaur on Twitter, @mainframeblog. See more of his IT writing at technologywriter.com and here.

 

IBM Racks Up Blockchain Success

July 15, 2016

It hasn’t even been a year (Dec. 17, 2015) since IBM first publicly introduced its participation in the Linux Foundation’s newest collaborative project, Open Ledger Project, a broad-based Blockchain initiative.  And only this past April did IBM make serious noise publicly about Blockchain on the z, here. But since then IBM has been ramping up Blockchain initiatives fast.

LinuxONE rockhopper

Courtesy of IBM: LinuxONE Rockhopper

Just this week IBM made its security framework for blockchain public, first announced in April, by releasing the beta of IBM’s Blockchain Enterprise Test Network. This enables organizations to easily access a secure, partitioned blockchain network on the cloud to deploy, test, and run blockchain projects.

The IBM Blockchain Enterprise Test Network is a cloud platform built on a LinuxONE system.  Developers can now test four-node networks for transactions and validations with up to four parties.  The Network provides the next level of service for developers ready to go beyond the two-node blockchain service currently available in Bluemix for testing and simulating transactions between two parties. The Enterprise Test Network runs on LinuxONE, which IBM touts as the industry’s most secure Linux server due to the z mainframe’s Evaluation Assurance Level 5+ (EAL5+) security rating.

Also this week, Everledger, a fraud detection system for use with big data, announced it is building a business network using IBM Blockchain for their global certification system designed to track valuable items through the supply chain. Such items could be diamonds, fine art, and luxury goods.

Things continued to crank up around blockchain with IBM announcing a collaboration with the Singapore Economic Development Board (EDB) and the Monetary Authority of Singapore (MAS). With this arrangement IBM researchers will work with government, industries, and academia to develop applications and solutions based on enterprise blockchain, cyber-security, and cognitive computing technologies. The effort will draw on the expertise in the Singapore talent pool as well as that of the IBM Research network.  The Center also is expected to engage with small- and medium-sized enterprises to create new applications and grow new markets in finance and trade.

Facilitating this is the cloud. IBM expects new cloud services around blockchain will make these technologies more accessible and enable leaders from all industries to address what is already being recognized as profound and disruptive implications in finance, banking, IoT, healthcare, supply chains, manufacturing, technology, government, the legal system, and more. The hope, according to IBM, is that collaboration with the private sector and multiple government agencies within the same country will advance the use of Blockchain and cognitive technologies to improve business transactions across several different industries.

That exactly is the goal of blockchain. In a white paper from the IBM Institute of Business Value on blockchain, here, the role of blockchain is as a distributed, shared, secure ledger. These shared ledgers write business transactions as an unbreakable chain that forms a permanent record viewable by the parties in a transaction. In effect, blockchains shifts the focus from information held by an individual party to the transaction as a whole, a cross-entity history of an asset or transaction. This alone promises to reduce or even eliminate friction in the transaction while removing the need for most middlemen.

In that way, the researchers report, an enterprise, once constrained by complexity, can scale without unnecessary friction. It can integrate vertically or laterally across a network or ecosystem, or both. It can be small and transact with super efficiency. Or, it can be a coalition of individuals that come together briefly. Moreover, it can operate autonomously; as part of a self-governing, cognitive network. In effect, distributed ledgers can become the foundation of a secure distributed system of trust, a decentralized platform for massive collaboration. And through the Linux Foundation’s Open Ledger Project, blockchain remains open.

Even at this very early stage there is no shortage of takers ready to push the boundaries of this technology. For example, Crédit Mutuel Arkéa recently announced the completion of its first blockchain project to improve the bank’s ability to verify customer identity. The result is an operational permissioned blockchain network that provides a view of customer identity to enable compliance with Know Your Customer (KYC) requirements. The bank’s success demonstrated the disruptive capabilities of blockchain technology beyond common transaction-oriented use cases.

Similarly, Mizuho Financial Group and IBM announced in June a test of the potential of blockchain for use in settlements with virtual currency. Blockchain, by the way, first gained global attention with Bitcoin, an early virtual currency. By incorporating blockchain technology into settlements with virtual currency, Mizuho plans to explore how payments can be instantaneously swapped, potentially leading to new financial services based on this rapidly evolving technology. The pilot project uses the open source code IBM contributed to the Linux Foundation’s Hyperledger Project.

Cloud-based blockchain running on large LinuxONE clusters may turn out to play a big role in ensuring the success of IoT by monitoring and tracking the activity between millions of things participating in a wide range of activities. Don’t let your z data center get left out; at least make sure it can handle Linux at scale.

DancingDinosaur is Alan Radding, a veteran information technology analyst and writer. Please follow DancingDinosaur on Twitter, @mainframeblog. See more of his IT writing at technologywriter.com and here.

 

Play the Cloud-Mobile App Dev Game with z/OS Client Web Enablement

April 15, 2016

Is you z team feeling a little nervous that they are missing an important new game? Are business managers bugging you about running slick Cloud and mobile applications through the z? Worse, are they turning to third party contractors to build apps that will try to connect your z to the cloud and mobile world? If so, it is time to take a close look at IBM’s z/OS Client Web Enablement Toolkit.

mobile access backend data 1800FLOWERS

Accessing backend system through a mobile device

If you’re a z shop running Linux on z or a LinuxONE shop you don’t need z/OS Web Enablement. The issue only comes up when you need to connect the z/OS applications to cloud, web, and mobile apps. IBM began talking up z/OS Enablement Toolkit since early this year. Prior to the availability of the toolkit, native z/OS applications had little or no easy options available to participate as a web services client.

You undoubtedly know the z in its role as a no-fail transaction workhorse. More recently you’ve watched as it learned new tricks like managing big data or big data analytics through IBM’s own tools and more recently with Spark. The z absorbed the services wave with SOA and turned CICS into a handler for Web transactions. With Linux it learned an entire new way to relate to the broader distributed world. The z has rolled with all the changes and generally came out ahead.

Now the next change for z data centers has arrived. This is the cloud/web-mobile-analytics execution environment that seemingly is taking over the known world. It almost seems like nobody wants a straight DB2 CICS transaction without a slew of other devices getting involved, usually as clients. Now everything is HTTP REST to handle x86 clients and JSON along with a slew of even newer scripting languages. Heard about Python and Ruby? And they aren’t even the latest.  The problem: no easy way to perform HTTP REST calls or handle JSON parsing on z/OS. This results from the utter lack of native JSON services built into z/OS, according to Steve Warren, IBM’s z/OS Client Web Enablement guru.

Starting, however, with z/OS V2.2 and now available in z/OS V2.1 via a couple of service updates,  Warren reports, the new z/OS Client Web Enablement Toolkit changes the way a z/OS-based data center can think about z/OS applications communicating with another web server. As he explains it, the toolkit provides an easy-to-use, lightweight solution for applications looking to easily participate as a client, in a client/server web application. Isn’t that what all the kids are doing with Bluemix? So why not with the z and z/OS?

Specifically, the z/OS Toolkit provides a built-in protocol enabler using interfaces similar in nature to other industry-standard APIs along with a z/OS JSON parser to parse JSON text coming from any source and the ability to build new or add to existing JSON text, according to Warren.  Suddenly, it puts z/OS shops smack in the middle of this hot new game.

While almost all environments on z/OS can take advantage of these new services, Warren adds, traditional z/OS programs running in a native environment (apart from a z/OS UNIX or JVM environment) stand to benefit the most. Before the toolkit, native z/OS applications, as noted above, had little or no easy options available to them to participate as a web services client. Now they do.

Programs running as a batch job, a started procedure, or in almost any address space on a z/OS system have APIs they can utilize in a similar manner to any standard z/OS APIs provided by the OS. Programs invoke these APIs in the programming language of their choice. Among z languages, C/C++, COBOL, PL/I, and Assembler are fully supported, and the toolkit provides samples for C/C++, COBOL, PL/I initially. Linux on z and LinuxONE shops already can do this.

Businesses with z data centers are being forced by the market to adopt Web applications utilizing published Web APIs that can be used by something as small as the watch you wear, noted Warren. As a result, the proliferation of Web services applications in recent years has been staggering, and it’s not by coincidence. Representational state transfer (REST) applications are simple, use the ubiquitous HTTP protocol—which helps them to be platform-independent—and are easy to organize.  That’s what the young developers—the millennials—have been doing with Bluemix and other cloud-based development environments for their cloud, mobile, and  web-based applications.  With the z/OS web enablement toolkit now any z/OS shop can do the same. As IoT ramps up expect more demands for these kinds of applications and with a variety of new devices and APIs.

DancingDinosaur is Alan Radding, a veteran information technology analyst and writer. Please follow DancingDinosaur on Twitter, @mainframeblog. See more of his IT writing at technologywriter.com and here.


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