Thank you.
Operator
And next we’ll go to our final question from Kash Rangan with Merrill Lynch.
Kash Rangan – Banc of America/Merrill Lynch
Hi, thank you very much. Two questions, one is we’ve not really asked about IBM and Software AG for a couple of quarters. I was wondering if you could give us an update how the competition besides Oracle looks on that front and secondly as you look back over the last few years I think we’ve really tried to use the messaging backbone, the strength of the company. We’ve always viewed it as the portion of the integration business and we’ll try to position a team around it. I think we tried SOA a couple of years back and I think this time around we’re talking about the Complex Event Processing as a team and I completely get it as to why we could be doing more messaging center applications but how real could this be compared to SOA which was all well intended by the industry but didn’t quite take off. It didn’t gather quite the momentum. So as you look at Complex Event Processing positioning around the core messaging business, how real could this be? What could be different about CEP relative to SOA?
Vivek Ranadive
Yeah Kash I would categorically agree with just about everything you said. I believe that if you look at, it’s not a debate anymore. Every single corporation that we work with is moving to a ‘In-memory service bus architecture’ and so it’s not something that hasn’t happened, it has happened. Every company is moving in that direction. The scope and velocity of life in business is such that there’s simply no other way. You can’t keep going back to the database. The law of physics doesn’t allow you to make that round trip when that scope and velocity is increasing in that fashion. So what we’re seeing is every single company is moving to a ‘service bus in-memory architecture’ with BPM as a way to do end-to-end business processes and Business Events as kind of the killer app for building new classes of applications that they simply couldn’t do before. But I would say that this is not a nice to have, it’s become a survival thing for these companies. But Murray, do you want to add to that?
Murray Rode
I think that was a pretty complete perspective. I think we generally Kash, we think that the interesting thing too about the CEP space and the opportunity there is that maybe a bit unlike SOA, CEP is a much more solution oriented kind of market and so I think customers see ways to deploy it and see the value of the solutions that use CEP much faster maybe than kind of pure SOA-oriented deals or opportunities.
Kash Rangan – Banc of America/Merrill Lynch
If that’s the case I can certainly see some layers of technology that you probably need to build underneath this architecture. I mean I can think of high volume data processing engine that can do the complicated analysis almost like Hardoop implementation but not on a relational level but in a different flat file oriented database. Are you giving thought in that direction because if this thing were to take off, then you have to build other layers or acquire competencies to build out the entire stack for the, for how you define the world going forward.
Murray Rode
I think a lot of that is already there with the Business Events product and its ability to handle large volumes of events or large volumes of data and perform the correlations and the rules on those data streams. In terms of the underlying data structure, we’ve already announced our intention to release a product called Active Spaces which will be a high speed cache effectively that underlies the architecture so that is one of the steps forwards with the overall solution.
Kash Rangan – Banc of America/Merrill Lynch
It’s all very interesting. It looks like you might have to get a new practice going on with the SI to brand around this area. It looks like it’s certainly gearing up to be a bearer of the cloud. The SI community has not quite kept pace with what’s going on there.
Vivek Ranadive
The new cloud will be an in-memory cloud and as it starts emerging we are positioning ourselves as the enterprise cloud because the more things that happen, the more chaos there is, the more need there is to tie it together and to tie it together in real time with the high level of performance and that’s kind of what differentiates us from what I call the enterprise 2.0 vendors which is around a disk drive database, ERP orientation. We think the future is around in-memory service bus. You still have the database but it’s more for storage.
Murray Rode
Anything further?
Operator
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