In Oprea j t Hi heet Wa: , Ex el Po; es Ser n 01-23 | ds et | v iča yi Ni d ZAVE din k zdr; ista vile s. H pi HEH k HI | ETI LU sa Y O. A f 4 5 4 kh H 4 ki isiire. ther significant difference can be H ae allow the user to access data with "% —ness systems. ka BOM vr the kisi ; Ano oe Nasa! This is the Š kovine whether the source Was a z uf Lotus intends for strategic ' products! m Mi (seen in Microsoft's orientation toward 1 — fifih of a series -on the strategic directions that Lotus Develop- ment Gorp. 15 pursuing and lhe significance of those strate- ges to organtza- . ttons planning % Jor the 19905. — Lotus 1-2-3s long- overdue up- ! grade has provid- Med competitors with a marketing advantage. 1-2-3 re- lease 2.01 is being challenged by several products that offer a greater number of [eatures at less cost. If spreadsheet-buy:- ing decisions were based only an fea- tures and cost, alternative products al- ready would have gained a much larger share of the market. The competition attacked the ihdomi- table 1-2-3 spreadsheet market by pro- viding features such as enhanced graph- les capabilities, an undo command, search and replace facilities, intelligent. .. recalculation, background recalculation. a macro learn feature, linking of spread- sheet cells, three-dimensional spread- sheets, inproved memory management and mnemonic cell notation. Features Lotus Lacks Most of these features are available to 1-2-3 users through add-in or third-party products. As a result, more demanding users have tended to buy add-ins rather than move to alternative products. While this causes the price-to-perfor- mance ratio to become even less favor- able, it has been possible to meet, many . of the needs of "power users" by adding in outside f unetionality. According to industry projections, the total number of spreadsheets sold in 1989 will exceed 3.5 million. This would represent a 25 percent increase in unit. sales over last year. With this large a market, there is plenty of room for com- petition. 1-2-3 has dominated the market since it took the lead from VisiCalc in 1982 and should continue to dominate for the foreseeable future. The software industry is seeing the | doeja ofa seo slowdown from the - | eteoric growth of the past two years... se — Me oopsded N zroča of a slowdown will RAJA : ude greatly increased Je ploh; a se | sonsolidaton 0f vendors and s pe — The following issues represent. the b pe ui x ne on which tl s z ; i: SEE oojuret le soltware Wars . ie ; With projections hat, Over the next | Wo0 years, more than 50 percent, of of- lice PCs will be networked, networking features will become in icreasingly impor- tant. in Lhe selection of software "A convergence of DOS and Windows 3,0 may occur, leav Lotus pelitive disad ne, a ? The move to 0S/2 and Unix will slowly. To lure users away from DOS" products must be highly integrated and must clearly demonstrate Superiority, ? Boundaries between databases and spreadsheets are blurring. New products spreadsheet or a database." | 8 integrated local area network comput:- '' operating systems. Owning a standard appears to be extremely important to | Microsoft. DOS, Windows, OS/2, Presen- -tation Manager and Xenix are examples | $učh aš 1-2-3 to reside on all the impor- tant operating systems and platforms, using features and functions common sie —1-2-3. In this cross-platiorm strategy, Ze! 4 implementations of 1-2-3 interačt with a: of these Microsoft standards. | ' common applications program LE! " In contrast. Lotus maintains an onien- , called DataLens, that provides: ; tation toward applications and intends O access to. data sources. to leverage the power of its 5 million ' Microsoft is pursuing a different ap- :' | spreadsheet users by making the transi- | ; | prome one in which access to, main- :;/ tion from 1-2-3 to TA age product | rame and departmental minicomputers an easy one. k | Bi ! is achieved arcugn produck such as; '/The strongest nine, to Micro: | | SOL Server.i, | '|4 Hišni a |, softs Excel will be the as-yet-unreleased ing environments will replace islands of computing on PCs. Therefore, Lotus '' seems to be banking ona cross platform strategv. KE 6 direct competition on features is i in- sufficient to move current users away ' : from an installed world-class product. integration of products with other soft. ware will assume more importance aS';, users demand greater functionality. e international markets will become % more important, reguiring more efficient, »r SOL Server i is a multiuser relational. |. 1-23 version 8. But until Lotus releases | | atabase-m ement, system from. ' version 83, it will be unable to compete | umetni. and support to customers to, /:' database- lena Sy gainst Microsoft The ecOOnS TEO | | vsheet market is now waiting to see a the ' How Lotus', Microsoft's Corporate Computing kope ee V |, ng" 44 | de Ra ee h | jes Differ Microsof's Mac Attack yi Ju REY V PRA CH Strategie viz ite piti | /. Meanwhile, Microsoft Excel has cap- | | t | Implementations On-Line Applicationit B urel almost ID porčent oli Le | of Lotus. | ii vand holds the major share of the Macin- | X | Mi : tosh market with its Mac version: Lotus" [| [1-2-3 for the Macintosh is not due until ji 1990, which allows more than five years > | for Excel to establish dominance, while. |. z Microsoft.s. Mac product has been on — zila ' product since 1985. »- . 4 b:., > "The market shares are shifting so that 4 | Microsoft will garner a projected 15 per |. vcent to 18 percent of the PC spread- ' k | sheet market by 1990. It:remains to be. JJ seen what effect 1-2-3 release 3 will Pe "have on this trend, but it is not likely | BE that there will be a dramatic shift injei- i ther direction. ;'' ; Jela Gl | :4/ In short, Microsoft Excel will continue to gain market share, but Lotus should UN: € be successful in slowing this trend with SE (its new releases of 1-2-3. Most likely, a o z massive marketing campaign will be, Mir j ' waged by Microsoft to counter the ef-. A : fects of release 3.: i NE 1 KRMNE — With a declared ritem of moving its H., eu A ,. products to OS/2 and the Presentation s Data M terosoft Stra tepy il. Manager, Lotus is vulnerable because an tra ELUKA NEM: Microsoft will have had a Windows" KA: Sources %,based spreadsheet on 'the market f Ori; |e | imore than two a by, the time 1-2- ia PTEIT" TNI K |j8/Gi is shipped. "tiči ij say RV va bledi BENI /; The Macintosh arket) is more diffi-i! 4. | ji Mo solna ija iki dt Mi tisa | k Cult to predict. If 1-2-3 for the Macintosh: /"' MI: NE 5 m Vine UM Oka LJE, DELA, tmškj! 1990 and if it is well [NE ICroso xcel w ntin nue PR |; received within the Mac community, ' if Lotus s hould be Co to y ain market s share, but there may be an opportunity for Lotus '— SUCCESS to take advantage of its market pres- di release. Most likely, sige vence If not, the Macintosh market is: Hi Vegi ely to belong to Microscii for a lo iN be waged by ee Counter se 3, | time. h ni LE čjiRio šc " prta či ži Next week, will discuss. how Lotus' imi! increase ožje | ; NU tju poe EH A TR Ci 4: | st, s: KAR K: di m fi (spreadshect product Ee takes adi | | | ge | li V HE Unlike in its early days when ase Microsoft that is pleši to Support). O oli iv Ca ela ea bestjana serij ME dominated the market. and w b k u multiple on-line applications. within a ' techn | pany Do k OM overpower its com ps as able to: v uclientserver architecture. siri tij; ological ei smi parke Oyešii Ser is now facing stiff Obale ea tom a, sh dne a Vivo Vlew the differenc a. V iko le o | AMI dili ME. number o | | | ee vy Wween the two stra | ZA ži m A : cant is Microsoke Cena; The most signiti-, | identifies the IBM nena ei To learn m more about the subject of/ (|! ||. Microsoft competes with Lotus in the partnership with DEC) as igrate | | Martin Renč, please call The James |. Uh eral major software categories: Mi eve, ty alliances that provide, access ime. artin Report, an information service. | io Excel, its spreadsheet product; Mjoa ca Po a Platlorms and woridwide ua." P dated euarterly, at (800) 242. 12405 UH Word, its No, 2. -selling word Crosoft /; keting systema.| 6%. | divi ii nI LE » For information on seminars, please, |W,. and Microsoft Chart and Miroot Pira is clearly a commit dpi; a ' contact (in the United States and Can: pi Il | Works, an integrated software n Lia: Up rosunenia that support enterprisew Ban echnology Transfer. Institute BELIV 4 | rapplications. Microsoft focuses on./ PE fi sera 10th St. Santa Monica, Calif. tila (A terpretationa of connectivity a theš "4 | networked POs as the primary platfor ( 2 (213) 5918305. In Europe, Con: ti ik g way in which POs wili be linked in busi ae nome with mainframes Ki | Janes. rac Pa Carnforth, ič! IM pam v pULers necessary, /i/,%./ nited PAN bi si OM! | ski Mid is KRA 4 (: ie | a Hi Men IA |