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IBM pushes LMS through the channel

by Rachel Fielding

18 Mar 2003

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IBM wants to push 50 per cent of the business from its new Learning Management System (LMS) through the channel.

LMS, which started shipping earlier this month, is based on the Java 2 Enterprise Edition architecture and runs on IBM Websphere 5.0 application servers.

Andrew Sadler, director of e-learning at Big Blue, admitted that interest in e-learning had stalled because of widespread disillusionment about corporate benefits and a lack of financial resources to invest in systems.

"But we're starting to see a lot of interest," he said. "We're on the way up again."

Sadler explained that the bulk of interest is coming from large companies looking to consolidate existing departmental LMS implementations or systems.

Industries with strong compliance issues, in particular financial services and healthcare, are driving a lot of business, according to Sadler.

"We want to capture market share and to do that we're looking to drive the indirect channel real hard," he said.

IBM wants to boost its capability with global and regional systems integrators, as well as independent software vendors (ISVs).

"I'd like at least three of the top tier ISVs signed up and 10 of the second tier. Overall I'd like us to drive half of our overall business through the channel," said Sadler.

Customers running Lotus Mindspan version 5.0, and on maintenance contracts, can upgrade to the new LMS free of charge. IBM plans to phase out the Mindspan brand.

The company will also ship tools with the new version of the LMS to migrate content and student data.

The new LMS includes a web-based Java reporting tool from Jinfonet, and an authoring tool that uses templates to help subject matter experts put together their own learning materials.

IBM has also launched a 'Ready for Lotus Software' certification programme for content partners, following concerns that existing content interoperability standards, such as SCORM and AICC, have led many companies into a false sense of security.

"Standards aren't well enough defined," explained Sadler. "It's a huge problem, so we have a testing suite so that customers will know that content will work out of the box with our system."

Existing content partners, of which there are about 150, are in the process of being signed up to the content certification scheme.

Eric Woods, research director at analyst Ovum Holway, said: "Because it's a platform player, there should be some opportunities for IBM to build on existing infrastructures, but getting companies to invest is still a challenge.

"But most people see this as a huge opportunity, as increasingly we move towards more ad hoc delivered training and more of an internet-based culture."

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