Java winning at the top end
While the competing J2EE and Microsoft .Net software development standards are an even tie among developers in corporate Australia, Java is winning the race at the top end, according to a recent survey. A study of more than 100 IT professionals across Australian corporations and Government departments, commissioned by application tools vendor, Compuware, said that 82 per cent of companies with more than 50 developers on board were adopting Java as opposed to 35.3 per cent that were adopting .Net. The survey also showed that both standards were used in many large organisations. In better news for the IT industry as a whole, respondents plan to increase application development by 75 per cent over the next two years.
EDS’ $US$2 billion sale
Electronic Data Systems (EDS) has agreed to sell its product data management, collaboration and design software business to three private equity firms for $US2.05 billion in cash. The company said that its UGS PLM Solutions business was being acquired by equity firms Bain Capital, Silver Lake Partners and Warburg Pincus. The decision was highly anticipated, as EDS said last October that it planned to divest the unit through an initial public offering (IPO) or private sale in order to concentrate on its outsourcing business, which has taken a hit in recent quarters. The company’s outsourcing business has been most notably dogged by problems relating to a huge US Navy contract, which is being investigated by the US Securities and Exchange Commission (SEC) and spurred the company to take a $US559 million dollar write-off in its fourth-quarter. While UGS PLM Solutions had been a solid contributor to the company’s growth, it was clearly outside of the company’s core focus, EDS chief financial officer, Bob Swan, said. The sale will also allow the company to cut its debt load. According to the company’s fourth-quarter 2003 financial statements, EDS ended the year with almost $US3.5 billion in long-term debt, in addition to $US1.5 billion in other liabilities.