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Summer Journal

Volume 28, Issue 3

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Jon Seals

Device makers are rolling out software-driven, Internet-connected devices and leveraging software licensing and entitlement management to increase revenues and profits



MAIDENHEAD, U.K. – A new survey report, The Third Industrial Revolution: Intelligent Devices, Software, and the Internet of Things, prepared jointly by Flexera Software and IDC, provides unique insights into how the third industrial revolution sweeping the global economy is being fueled by device manufacturers – transforming their products, business models and revenues streams with intelligent and Internet-connected technology.


The report indicates that reality is catching up to the hype. Device manufacturers are significantly transforming their product and services lines through software-driven intelligent devices, Internet of Things devices and software licensing/entitlement management capabilities that enable monetisation of products and services. Among the report’s findings:


  • The Number of Internet of Things Makers Will More Than Double within Two Years: Only 30 percent of respondent device makers currently develop Internet of Things devices. But 34 percent more plan on doing so over the next two years.
  • Software-enabled Intelligent Devices Continue Strong Growth: Today 50 percent of respondents say they develop intelligent devices. Another 21 percent plan on making their devices intelligent over the next two years.
  • New Product/Services Categories Are Being Created: 79 percent of respondents say they are or plan on delivering remote monitoring and maintenance to their product/service mix; 66 percent will add Business Intelligence capabilities; 37 percent will improve their supply chains with new services, such as automatic replenishment of used goods (i.e. replenishment of empty water coolers).
  • Software Licensing/Entitlement Management is Key to Monetising the Internet of Things: 60 percent of device makers use software licensing and entitlement management systems to monetise their intelligent and Internet-connected devices, allowing them to develop new offerings that bundle hardware, services and/or consulting.
  • Proportion of Revenues from Hardware Declining, Proportion from Services Rising: The number of device makers who say that 50 percent or more of revenues comes from hardware will decline by 5 percent over the next two years while the number of device makers who say that 50 percent or more of revenues comes from services will increase by 6 percent over the next two years.


“Hardware device makers are faced with a variety of challenges associated with thin margins, inflexible and costly supply chains, and limited revenue streams,” said Amy Konary, Research Vice President - Software Licensing & Provisioning, IDC. “By transforming their business models via software, Internet connectivity and licensing capabilities, device makers can enter new markets, diversify and increase their revenue streams, improve margins, and differentiate from the competition. The survey data indicates that that is exactly what is happening now.”


“The report supports a long-proven truism in the high-tech arena – that innovation, alone, isn’t sufficient to transform an industry. There must also be a practical means to monetise new technology in order to profit from it,” said Vikram Koka, Vice President of Intelligent Devices & Internet of Things at Flexera Software.


“Software- and Internet- enabled products are spawning a vast new category of products and services previously unimaginable. The data from today’s report shows that in conjunction with their new products and services, device makers are also beginning to transform their business models via flexible licensing and entitlement management – enabling them to turn their innovations into revenue.”



Access The Third Industrial Revolution: Intelligent Devices, Software, and the Internet of Things Report

Learn more about Flexera Software’s:

Related Flexera Software Webinars

Related Flexera Software White Papers


About This Report

This report is based on the 2015 Application Usage and Value survey, conducted by Flexera Software with input from IDC’s Software Pricing and Licensing Research division under the direction of Amy Konary, Research Vice President - Software Licensing and Provisioning at IDC. The surveys were completed between November, 2014 and January, 2015, by more than 580 respondents from software vendors, intelligent device manufacturers and end-user enterprises. This annual research project looks at software licensing, compliance and installation trends and best practices.


About Flexera Software

Flexera Software helps application producers and enterprises increase application usage and the value they derive from their software. Our software licensing, compliance and installation solutions are essential to ensure continuous licensing compliance, optimised software investments and to future-proof businesses against the risks and costs of constantly changing technology. Over 80,000 customers turn to Flexera Software as a trusted and neutral source for the knowledge and expertise we have gained as the marketplace leader in licensing, installation and compliance for over 20 years and for the automation and intelligence designed into our products. For more information, please go to: www.flexerasoftware.com.

Carriers, Third Party Administrators, and Self-Insured Organizations Use Talon® to Predict and Prevent Severe Claim Costs


COLUMBIA, S.C. – EagleEye Analytics, the leading predictive analytics technology provider for the insurance industry, announces the availability of Machine Learning Predictive Analytics for Claims Management. The new Talon Claims Suite is being rolled out with the launch of Talon® version 5.0.

EagleEye Analytics announces the availability of Predictive Analytics for P&C Insurance Claims along with the release of Talon 5.0 machine learning software.

"The Talon Claims Suite offers exceptional predictive analytics for P&C claims, such as liability claims and workers compensation," said Wade Bontrager, CEO, EagleEye Analytics.

"Claims adjusters have more tools than ever to create a treatment strategy from the moment each claim is reported, but these tools come with a cost. Talon's predictive models identify the claims that will benefit most from cost-management strategies, with more accuracy than traditional analytics," Bontrager added.

"We built EagleEye's Machine Learning algorithms specifically for insurance data. They find far more predictive insight in the data than traditional methods, and insurers have been using it for years to highly refine their pricing and underwriting models," says Bontrager. "Now that we've added claims to the mix, predictive analytics can help solve business problems throughout insurance organizations."

Talon 5.0 also features a redesigned user interface for insurance organizations using its Profitability Suite for pricing, underwriting and marketing predictive analytics. The redesign enables a more intuitive workflow for users who are building predictive models and sharing data through their organizations.

As for what's next for EagleEye Talon Predictive Analytics, "the most predictive model ever built isn't worth much if it isn't implemented and accepted by the organization," says Product Development VP Scott Field. "So we're working to make it even easier to ensure predictive models not only get implemented, but the insights and results are easy to consume and share."


About EagleEye Analytics
EagleEye Analytics offers the most advanced predictive analytics software  available today. Developed by actuaries and data scientists with long careers in insurance, Talon® insurance-data aware machine learning produces real-time scoring to inform decisions in claims management, pricing and underwriting, marketing and distribution. More than 200 engagements in the United States, Europe, Canada and Australia have proven Talon delivers the best predictive results. EagleEye is headquartered in Columbia, SC, USA and has a subsidiary in London, UK. A privately held company, EagleEye Analytics is backed by FirstMark Capital in New York. For more information, visit eeanalytics.com.

Three factors are set to shape the priorities of organisational learning and development in 2015



MUNICH – Speexx has released a new white paper for HR and L&D professionals. Based on a global survey which captured insights of 200+ senior HR and L&D professionals, the three-page report gives an executive insight into how big data and talent mobility boost performance in the learning and development sector.


The white paper addresses three key themes from Speexx Exchange 2014-15 Survey: (1) organisations must maximise on big data in a corporate learning context, (2) organisation need to address the war for talent HR and L&D managers currently face, and (3) organisations must develop a truly mobile workforce. The report includes exclusive research data with responses from over 200 senior human resources and learning professionals. An infographic summary of the survey is also available via the Speexx Exchange Blog.


“There’s a lot of talk about big data and how it can help businesses become more responsive to customer needs, and the same thinking can be applied to corporate learning” comments Armin Hopp, Founder and President of Speexx. “We’re excited about helping our partners and customers exploit this opportunity and recognise other industry changes with a new white paper edition.”


The white paper is available for free download via http://www.speexx.com/whitepaper/.


About Speexx

Speexx helps large organisations everywhere to drive productivity by empowering employee communication skills across borders. Speexx offers an award-winning range of cloud-based online language learning solutions for Business English, Spanish, German, Italian and French with ongoing support in 13 languages. Speexx is easy to use and scales to the needs of users and training managers in organizations of any size. The Speexx branded Perfect Blend integrates online business communication skills training, mobile and social learning, expert coaches located throughout the world and personalized live online activities into one fully standardized, globally consistent learning experience. More than 7 million users in 1,500 organizations – including Ericsson, ArcelorMittal, UNHCR and Credit Suisse – use Speexx to learn a language smarter and deliver results on time. Speexx was founded in 1994 and is headquartered in Munich, London, Madrid, Milan, Paris, Sao Paulo and Shanghai. For more information, visit www.speexx.com.

DxEnterprise Delivers Application Portability, Near-Zero Downtime, and Ease of Management - Lowers Associated Costs By 30-60%


FORT COLLINS, Colo.  – DH2i™ today announced the general availability launch of DxEnterprise™ container management software for Microsoft Windows Server, bringing with it a fundamental shift in how today's datacenter will manage Windows Server applications and workloads.  DxEnterprise "containerizes" Windows Server application instances, thereby decoupling the apps and all associated data from host OS and underlying physical infrastructure.  In this way, DxEnterprise delivers fast and transparent application portability, hyperscale cloud-like agility, and ensured high availability.  It also makes apps easier to provision, test, deploy, and manage - all with assured application performance, while lowering associated costs by 30-60%.


DxEnterprise software decouples Windows Server application instances from a physical server, virtual machine (VM) or cloud server via its industry-unique lightweight container called a virtual host, or Vhost.  Each Vhost consists of a logical computer name, an associated IP address (or addresses), Vhost management metadata, and portable native NTFS volumes.  The metadata within the Vhost coordinates container workload management and directs the managed application to launch and run locally.


DxEnterprise containers share a single Windows Server OS instance and are then stacked on virtual or physical servers, providing significant consolidation and application instance portability.


DxEnterprise offers advanced management capabilities that enrich the base container technology.  Those capabilities, which include automation and orchestration, drive substantially higher efficiency and provide a self-healing environment that reduces risk.  Its features/benefits include:

-       Consolidation - Lightweight shared-OS Vhost technology lets organizations stack multiple containers on a single virtual or physical machine, without the infrastructure redundancy of server virtualization.

-       Ensured Health & Availability - Provides protection from infrastructure, OS and application faults.  Should a fault occur it will take automated action to restart and "self heal" all workloads among all remaining active nodes.  DxEnterprise also monitors and ensures application performance through quality of service controls and automation.

-       Orchestration & Conditional Logic - Automates the task of dependency coordination.  Vhost containers offer multiple workflow insertion points for conditional logic coordination with event handling. Thus, containerized applications with dependencies can be controlled and managed using policies, enabling an entire workflow or service to be made highly available.

-       Alerts & Resource Management - Handles resource-contention issues, both within and between containers, which enables organizations to create policies that ensure application level SLAs.  If the managed application encounters insufficient resources, DxEnterprise can automatically move the lowest priority workloads to rectify the resource shortfall.  The management software will also issue alerts if workloads fail to meet performance thresholds or for any defined level of criticality.

 -       Dependency Coordination & Failover - These management capabilities make DxEnterprise and Vhost containers more suitable to enterprise deployments where organizations need the assurance of application availability in conjunction with dependency coordination.  A Vhost container's ability to have native portable dynamic NTFS volumes, with consistent drive designation, enables enterprise application protection.  If an outage occurs, the active Vhosts simply restarts on one of many potential failover targets, both local or remote, wherever it has access to its shared or replicated data.

 -       Future Container Support - The universality of the DxEnterprise Vhost container will enable it to support any Windows-based application container that comes to market - including from Microsoft - and will be able to seamlessly coordinate both the new application containers and existing applications.


"We were looking for a near zero downtime solution for all our SQL Server instances, with a better value proposition than any clustering or server virtualization could provide alone," said Dean Bray, Technical Services Manager, Eversheds.  "With DH2i, we are able to consolidate and ensure uptime much more effectively, and at a fraction of the cost for our associated licensing; while solving our future lifecycle and update challenges as a further upside."


"With DxEnterprise, customers can containerize and make any new or existing Windows Server app service, file share, or Microsoft SQL Server instance portable and highly available, with the native dynamic NTFS volumes following the workload - all with just a few clicks," said OJ Ngo, CTO and Co-Founder, DH2i.  "The results include a reduction in software and infrastructure costs of 30%-60% and the elimination of significant lifecycle management expense - and headache.  It also eliminates OS sprawl and reduces OS cost by 8-15 times, and provides near zero application downtime as well as protection from OS, application and infrastructure faults."


"Our customers tell us that they have looked at other vendors that could provide the server 'containers' but learned that these competing technologies would force them to look to third parties for most of the management of said 'containers' - i.e., disk management, HA, DR, dependencies, etc.," Ngo continued. 


"DxEnterprise is the only solution that provides both the container and the advanced container management, as one.  The container is a big deal, but it's really more about the management of the container that impacts the business."


"'Containers' has become a popular buzzword in the industry, but usually in the context of Linux. DxEnterprise is focused on applying container technology to Windows applications, and that in itself differentiates this product," said Al Gillen, Program Vice President, Servers and System Software, IDC


"DxEnterprise brings portability to application instances in a Windows environment, and to ease adoption, it can lift applications off of an existing deployment.  IDC expects that containers will become a popular packaging technology in the near future."


DxEnterprise is immediately available and priced at $1,500 per core ($360 per core per year for 24x7 support and software subscription).


To dive deeper into DxEnterprise, please read the following technical white paper: http://dh2i.com/whitepapers/dxenterprise-for-microsoft-windows-server-sql-server-use-case.


Don't Miss:

World-renowned Microsoft consultant, SQL Server MVP and prolific author Denny Cherry will present, "The Hottest New Container Approach to Microsoft SQL Server Availability," on February 18 at 1:00 p.m. - 2:00 p.m. Eastern Time.  During this live webinar event, Cherry will discuss the top challenges his clients are facing today around SQL Server high availability (HA), disaster recovery (DR) and consolidation.  He will go on to share the approaches he has found to be most effective in real-world scenarios (as well as those that fell short).  Finally, Cherry will present the findings from his "first-look" hands-on lab review of DH2i's DxEnterprise, Windows Server application portability and management software.  Please register here: http://dh2i.com/webinars/visionary-denny-cherry-presents/


About DH2i

DH2i Company™ is the leading provider of Windows Server application portability and management solutions.  Its newly launched flagship solution, DxEnterprise™ decouples Windows Server applications from the host OS and underlying IT infrastructure - "containerizing" the applications and providing the ability to move them with near-zero downtime from any host, to any host, anywhere.  In doing so, customers are able to better consolidate their environment, build and manage hybrid physical, virtual and/or cloud environments, dramatically simplify management, and ensure service level agreements (SLAs).  The bottom line for customers equals a 30%-70% reduction in software and related infrastructure costs, ensured application availability, and a 70%+ increase in application management productivity.  To learn more, please visit the DH2i website: www.dh2i.com, call: 970-295-4505 or +44 20 3318 9204, or email: info@dh2i.com.


Additional Resources:

- Join the conversation:TwitterLinkedIn, or Facebook.

- Read and Discuss: DH2i Blog.

- Watch and Learn: DH2i YouTube Channel.

Less than six months ago Seagate launched its EVault Enterprise Backup and Recovery Appliances, a portfolio of efficient appliances aimed at data centers requiring up to 100 TB of usable capacity.

Today we are announcing a new backup device – the new Seagate EVault Backup Target Appliance (BTA). The BTA is an all-in-one appliance engineered for large enterprise companies and service providers seeking a data protection solution for multiple operating systems and applications, including Oracle databases. The BTA is based on Seagate’s hybrid cloud model, which supports environments where both private (on-premise) and public (off-premise) storage is utilized. It stands alone as the only backup target appliance that enables backup to a private, public or partner cloud and features 65 TB of useable storage capacity.

“The Seagate Evault BTA has been designed for database administrators who want more control and increased flexibility to deploy backups, where needed,” said John Bedrick, Seagate Product Line Director – Cloud-Connected Products. “Also key to the BTA is its unique hybrid architecture as the only appliance of its type able to backup to a private, public or partner cloud.”


Seagate’s BTA = Complete Control & Flexible Options

The BTA has been designed to utilize any enterprise application’s backup software, giving the IT team complete control over how to schedule and execute backups and restores.

Also important is the BTA’s inherent flexibility to deploy backup and recovery storage vaults wherever they are needed. These include DeltaPro backups, enterprise components and granular restore. In doing so, users benefit from the flexibility of buying an appliance that can backup as much as 65 TB of data (within a single 4u BTA box) for their Oracle database.



The Seagate EVault Backup Target Appliance joins a growing portfolio of Seagate backup and recovery appliances. The appliance is currently available in the U.S., Canada, Mexico and the European Union. Availability in other regions is planned for May 2015.

Click here to learn more about the Seagate BTA. You can also request a quote or, if you’d prefer to speak with someone directly, click here to utilize our chat feature.

LEICESTER, UK – Jadu, a global web experience management company has launched a new cloud-based case management system aimed at helping organisations connect with their customers and serve them better.


The ‘Jadu Q Case Management’ system is designed to meet the needs of Government, Higher Education institutions and businesses who care about their users’ needs and digital experience and have a desire to connect their staff with their customers. The Jadu Q service has made its debut on the Government’s Digital Marketplace, recently launched in its sixth iteration.


Suraj Kika, Jadu’s CEO said: “Q is unique in that it enables organisations to deliver specific services that require collaboration through a customer portal that is designed to work on all devices. The portal fits into the organisation's website and enables all parties to interact on cases that require collaboration for a decision to be made. We’re really excited about helping organisations deliver a better customer experience by leveraging their best asset - their people.”


Jadu has partnered with Skyscape Cloud Services, a UK sovereign cloud services provider that exclusively focuses on delivering assured cloud solutions to the public sector: “Jadu has developed a modern digital service that allows organisations to manage the customer experience, leveraging the full potential of the cloud,” said Simon Hansford, CEO of Skyscape Cloud Services. “With Jadu launching the service on the latest iteration of G-Cloud, we look forward to continuing our partnership as the Framework continues to deliver transformational benefits to the UK public sector through unique services like Jadu Q.”


“It’s too hard for organisations to get up and running with back office CRM and Dispute Resolution systems.” Says Kika. “We wanted to address that problem by making the back end system the front-end, built with beautiful responsive design and behaving as a modern web app should - on the device the customer chooses to use. As an SME, we can deliver solutions like Q faster and much more efficiently. It also helps that we SMEs are Agile from the inside out.”


Stephen Allott Crown Representative for Small and Medium Enterprises said: "I welcome new innovative solutions from SMEs. We want to buy from an SME every time they are the best value for money for the taxpayer".


Jadu have developed the Q Case Management system building on their expertise gained from working with the Ministry of Justice (MoJ) in delivering the Employment Tribunals online service - one of the Government’s 25 exemplar digital services. Jadu have recently been working with MoJ to open source the front-end experience of the Employment Tribunals platform and intends to open source the portal front end of its Q Case Management System.


“We’re a small software company disrupting the ‘large IT’ CRM space with a secure cloud platform that is built around users and people.” Says Kika. “Our commitment is to provide a platform that is simpler, clearer and faster, and to support the desire for both open communication and open technology. Like all the SaaS products we are making now, Q is G-Cloud first”.

Joint solution creates the Industrial Internet of Secure Things


Orlando, Florida – Icon Labs (www.iconlabs.com), a leading provider of embedded networking and security technology, today announced the integration of  Icon Labs’ Floodgate security products with Mentor Graphics’ Nucleus® RTOS and MentorEmbedded Linux®. The integrated solution creates a secure platform for industrial automation and extends the Internet of Secure ThingsTM initiative into industrial control systems. This integrated solution is being jointly demonstrated at the ARC Industry Forum.

Icon Labs’ Internet of Secure Things Initiative defines a platform for developing secure, connected devices.  The platform is designed to ensure that security is intrinsic to the architecture of the device itself and incorporates security management and visibility, device hardening, data protection and secure communications.    These capabilities provide the foundation for the Industrial Internet of Secure Things. Natively securing the devices simplifies protection, audit, and compliance independent of the secure perimeter, reducing the need for expensive and complicated security appliances.

“Security is a top priority for our industrial automation and critical infrastructure clients.  Partnering with Icon Labs allows us to provide an integrated solution that enables security and regulatory compliance,” stated Scot Morrison, general manager of Embedded Runtime Solutions, Mentor Graphics Embedded Systems Division.  “Icon Labs Floodgate product family provides a comprehensive security platform for developing secure, embedded devices using Nucleus and Mentor Embedded Linux.” 

The integration of Icon Labs’ Floodgate products and Mentor Graphics’ embedded OSes provides:

  • Security policy management
  • Event and command audit log reporting
  • Integration with the McAfee ePolicy orchestrator (ePO)
  • Integrated embedded firewall
  • Firmware and data anti-tamper support
  • Integrated solution on both Nucleus and Mentor Embedded Linux

“Today’s modern industrial automation devices and systems are complex connected devices charged with performing critical functions,” says Alan Grau, CEO of Icon Labs.  “Including security in these devices is a critical design task.  Security features must be considered early in the design process to ensure the device is protected from the advanced cyber-threats they will be facing now as well as attacks that will be created in the future.  By partnering with Mentor Graphics, we are able to offer a solution in which critical security elements are integrated into the operating system, ensuring security is a foundational component of the device.”

Icon Labs’ Floodgate solution for industrial automation is available from Icon Labs today.  For additional information, visit the Icon Labs’ website at www.iconlabs.com.


About Icon Laboratories, Inc.
Icon Labs, a 2014 Gartner “Cool Vendor”, is a leading provider of embedded software for device security, device protection and networking management, including the award winning Floodgate Defender. Founded in 1992, Icon Labs is headquartered in West Des Moines, Iowa. For more information, visit www.iconlabs.com, send email to info@iconlabs.com, or call 1.888.235.3443 (U.S. and Canada) or 515.226.3443 (International).

Ultra Electronics AEP announces its PayGate™ Online secure payments processing service is now available to public sector organisations via the government’s Digital Marketplace


Public sector organisations can now purchase AEP’s innovative secure online payments processing service, PayGate™ Online, with advantageous Software as a Service (SaaS) pricing, after AEP announced that the company has been accepted onto the UK government’s G-Cloud 6 Framework.


The framework has been created to save public sector organisations and suppliers’ time and money when embarking on IT programmes involving procurement. G-Cloud is different from other frameworks as it allows public sector organisations to pay for services as they use them, rather than being tied to inflexible, long-term contracts.


AEP’s BACS approved PayGate Online is a cloud-based payments service which allows the user to safely and securely submit payments and transaction data for BACS Direct Credit, Faster Payments and Direct Debit, all via a dedicated web portal. PayGate Online is fully RTI compliant, easy to use, encrypts data in transit, has built in checks to detect errors and is backed by a UK support desk, with over 30 years customer support.

Nick Newman, Payments Business Manager at AEP, commented: “PayGate Online is a simple alternative to installed software solutions and outsourcing to BACS and payroll bureaux. AEP is the only BACS Approved Software supplier to also develop and manufacture its own Hardware Security Module (HSM), PayGate HSM, providing the highest level of security available for payment transactions”.

Friday, 06 February 2015 00:00

Is Your CEO Next? The Data Ticking Time Bomb

This morning, I read the news that Anthem Insurance had a massive data breach and that Amy Pascal, who led Sony pictures as co-chairman, was stepping down as a result of Sony’s breach.

I’d just been sent a Varonis study, written by the Ponemon Institute. “Corporate Data: A Protected Asset or a Ticking Time Bomb?” couldn’t be more timely. The danger in not taking data security seriously is growing.

Let’s talk about this report against those events this week.



The Internet of Things is among the trends driving companies to invest in data virtualization, according to Suresh Chandrasekaran, senior VP for data virtualization vendor Denodo.

Data virtualization isn’t normally something you hear in Big Data discussions. I asked Chandrasekaran what problem data virtualization solved for IoT and other Big Data projects. Sensor data is generally pooled in a data repository or data lake, he explained, but it’s useful without context.

Data virtualization allows you to leverage sensor and other Big Data and add context using other data sources. For instance, if you’re using sensors to monitor vehicles, you might want to combine that with maintenance records to predict when parts need to be changed.