Identifies Web Services, BPEL and Peer 2 Peer as the Next Frontier
Crowns the "Three Kings" of Grid in Financial Markets
Boston, MA, November 10, 2003 â According to The Tabb Group's new report, "Grid Computing in Financial Markets: Moving Beyond Compute-Intensive Applicationsâ, grid is hot because itâs the right technology for its time and within the next five years it will be a de facto part and parcel of virtually every major financial markets firmâs infrastructure.
"While we do not anticipate ubiquitous network, compute, data and services utilization, we do expect that the expanding technology heterogeneity, drive toward services, business process outsourcing, Web services and continued cost pressures will ultimately force many firms to make fairly radical changes in the way they manage their technology," says Larry Tabb, founder of The Tabb Group. "It may be painful but itâs an unavoidable reality every CXO-level executive will simply need to contend with."
The Tabb Group, a financial markets technology strategy and planning consultancy, was founded in June, 2003 by Larry Tabb, a 23-year financial markets veteran and former vice president of securities and investments at TowerGroup, the Massachusetts-based analyst firm and division of Reuters Group (NASDAQ: RSTRY),
"While we estimate that total outstanding grid software and services spending in the financial markets will be only US$59 million this year, a relatively small figure, we see spend quickly rising over the next five years at a compound annual rate exceeding 60% and growing to approximately US$680 million," says Tabb.
Grid computing in the past year has expanded to include locating, managing and monitoring disparate compute resources, managing and providing virtualized access to underlying data and providing an infrastructure to deploy component-based applications and services in a heterogeneous and increasingly decentralized technology. "In the financial markets,â the report explains, âgrid use revolves around computational grids, leveraging idle resources to tackle large and complex analytical problemsâ. According to Tabb, âThere is tremendous opportunity in both data and service grids as firms strive to better attempt to better utilize their existing data, manage their heterogeneous infrastructure, leveraging component-based Wed services technology to extend and implement services-based architecture."
Topics addressed in the 35-page report include:
- Five-year growth projections for enterprise- and application-level compute grids, data grids and services grids
- Impact and possible threat ahead from the Global Grid Forum (GGF) and its Globus Tool Kit. Open Grid Services Architecture (OGSA) and Open Grid Services Infrastructure
- Future role of new standards, WS-BPEL and WS-Choreography
- Analysis of 10 financial markets data and services grid vendors
- Moving away from cost as a value proposition and the challenges of obtaining positive ROI-based metrics
- Opportunities for small vendors entering the data, services and autonomic grid space
- The "three kings," their role as "cheerleaders", how they are preparing to grid-enable their outsourcing infrastructures and how separately Oracle has rebranded its core product line to be grid-compliant.
The report discusses the changing grid solution market, investigates the drivers, taxonomy and vendors that are developing cutting-edge solutions in this rapidly changing environment and includes a case study of a global financial markets firmâs efforts to develop this technology with little assistance from traditional grid vendors. It analyzes new grid standards and their impact on the financial markets, describes current grid computing vendors and explains how firms are both adopting and adapting to this new Grid vision. There is also an in-depth analysis of grid computing adoption, market size projections and estimates covering project growth levels of grid computing in financial markets.