Web services: Ready, steady... wait

Technology buyers, still digesting all of the software applications they bought in the late 1990s, are moving more slowly. While interested in Web services' more advanced concepts -- such as delivering real-time order status information to customers, and automatically scheduling appointments and coordinating calendars -- companies are starting out using it as a cheap and easy way to integrate applications. For instance, GE Global eXchange, which serves 60 percent of the Fortune 500, is using the technology to swap and track documents involved with B2B sales. Radko said his customers and partners are enthusiastic about Web services, but are just beginning to ponder how to use it. "Customers love to hear what we're doing but haven't programmed to it," he said. "Web services projects have to focus on integration because it's easily defended," said Radko. "Big standalone efforts aren't going to happen, so Web services will tackle the little things now and a few years later the big dollars will be spent." So when will Web services boost software vendors' bottom line? "That will take a couple years," said Schadler. Although most were optimistic about the long-term prospects, it's unclear whether a slow-but-steady buildup will satisfy software vendors, which are hoping services will mean stronger growth figures. Don Nanneman, vice president of marketing for business process management company Savvion, said there's a lot of interest from his customers, but it will take time for Web services to be everywhere. "It's going to take a lot of work, pilots and trials," said Nanneman. "As the comfort level and experience level increases there'll be opportunities for it to proliferate." Until that day, it's going to be baby steps for Web services rollouts -- not to mention the revenue that'll come with them. "We're going to see bigger projects, but I'm not sure how it's going to pan out with infrastructure spending," said Radko. "We're mining the software we have -- there's a lot of capability there."

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