• Sidebar: NCompass Resolution 4.0

Microsoft has reached an agreement to acquire software maker NCompass Labs. NCompass’s primary product is a software tool, Resolution 4.0, which makes it easier for Web site operators to manage the content of large, complex sites. The deal will help Microsoft meet customer demands for collaborative content management capabilities in its Web development and infrastructure products, particularly Commerce Server. It also threatens growth opportunities for other companies providing content management software on the Windows platform.

Microsoft's US$36 million acquisition of the privately held Vancouver, B.C., company is expected to close by the end of May.

Content Management Tackles Collaboration and Complexity

Traditional Web sites are typically implemented on a Web server as a file hierarchy of HTML, script (e.g., CGI, Active Server Pages), and graphics files, and linked to one or more database servers containing dynamic data such as product catalogs, purchases, inventories, customer information, schedules, and so on. Although a skilled Web developer can create and manage a small Internet or intranet site with only a text editor and a graphics tool, this method does not scale to large sites because it lacks the means for managing collaboration and complexity.

Web site collaboration. The process of creating and maintaining a large, complex Web site primarily involves four different groups of people, whose members must all be able to contribute and collaborate efficiently:

• Architects—developers and business analysts who design and code the overall site
• Content creators—writers, graphic artists, and product managers who create the text and graphics. Many content contributors are not proficient in HTML and want to use tools that shield them from the code
• Reviewers—editors and managers who review and approve what gets published to the site
• Administrators—system administrators, Webmasters, and database administrators who ensure that the site is functioning properly and that the correct content is presented to users

Depending on the size and complexity of the site, the entire team could range from tens to hundreds of individuals. With large teams, roles, responsibilities, and change control procedures must be defined and followed or chaos will soon ensue.

Web site complexity. Content can grow to thousands or even millions of pages, many of which change frequently. No single individual can realistically monitor and manage a site of this size; it is simply too vast. Hyperlink maintenance must be automated because manually checking the links would become an endless task.

Familiar Web-authoring tools such as Microsoft’s FrontPage or Macromedia’s Dreamweaver do little to address the issues of Web site collaboration and complexity. Operators have thus turned to a class of software termed "content management" or "Internet publishing systems." These systems store nearly all elements of a Web site in databases, including the traditional business data mentioned earlier, as well as content (text, graphical images, and sounds), presentation information (page templates, links, and controls such as buttons and drop-down lists), and rules governing when and how pages are built. Pages are then built dynamically on the Web server using data, content, and user interface elements extracted from the databases according to the rules contained therein.

A content management system provides Web site operators with tools to automatically enforce versioning and change control, maintain hyperlinks, and schedule publication of each element. It also allows content providers to submit text and graphics without knowing HTML, while providing a means to enforce a consistent look and feel across the site. Additionally, it supports personalized content based on the users’ display devices, language, and tastes or visit history.

The net result is that content creators and reviewers are shielded from the labyrinthine details of implementing the site, teams can do their jobs without running into logistical gridlock, and IT departments are freed from managing site content. (For more detail on how NCompass’s Resolution addresses content management, see "NCompass Resolution 4.0".)

Because of their close interaction with Web server, database, and operating system technologies, many of these products work only with a particular Web application server or e-commerce platform, such as Microsoft’s Commerce Server, IBM’s WebSphere, or ColdFusion’s Enterprise Application Server.

Content management systems are very pricey, both in terms of purchase price and implementation cost. Because they tend to be all-or-nothing systems, they require a lot of up-front consulting, customization, and training before Web site operators can begin to see benefits. Prices start in the tens of thousands of dollars and can grow into the millions once consulting and services are thrown into the mix. For example, NCompass Labs’ Resolution 4.0 is currently priced at US$59,000, and its connector that integrates Resolution with Microsoft Commerce Server goes for an additional US$10,000. Many consider Vignette the pioneer in the content management field, but now the arena has become crowded with players, including BroadVision, Interwoven, Macromedia/Allaire, and more than 20 others.

Why Microsoft Is Acquiring NCompass

Microsoft states that it was driven to bring content management in-house because its customers expected its Web-oriented enterprise products, especially Commerce Server 2000, to have integral content management support. It chose NCompass because its Resolution product was designed solely for the Microsoft platform, Resolution already had been integrated with Commerce Server, and because it was a reputable product with an installed base that included some large sites, such as Associated Press, Fujitsu, Johnson & Johnson, Marriott, Texaco, Verizon, and most importantly, Microsoft itself. This fall it plans to issue a rebranded version of Resolution 4.0 named Microsoft Content Management Server (CMS) 2001.

Commerce Server sales in particular could benefit from the acquisition. Microsoft will finally have an integrated content management solution for its e-commerce platform, allowing it to better compete with equivalent offerings, such as IBM’s WebSphere User Experience (which contains Interwoven’s TeamXpress). For more information on Commerce Server 2000, see "Microsoft Releases Commerce Server 2000" on page 9 of the Jan. 2001 Update.

Just as Microsoft produces SQL Server but works with other database vendors, it will continue to work with many of the other content management vendors. Many Web site operators have already made significant investment in content management systems (such as Vignette), so high switching costs may shield the other content management vendors from erosion of their installed bases. However, it may be very difficult for them to offer enough added value to dissuade new Web site operators committed to the Microsoft platform from simply going with CMS.

Future Implications

Because CMS can work both as a content authoring and staging server as well as a production Web content server, it will both augment and overlap functions provided by other Microsoft products. At press time, Microsoft has not issued any further information on exactly how CMS will integrate into the .NET server line, but one could imagine the following product scenarios:

Commerce Server. With CMS in the .NET Server lineup, Commerce Server’s SQL Server-based database could be home to the published content, while CMS is used for creating, staging, testing, and then pushing the published content into Commerce Server.

Application Center. Since both Application Center and Resolution include features designed to replicate content and load-balance clusters of Web servers, it seems likely that Microsoft will shift these capabilities completely into Application Center server.

SharePoint Portal Server (SPS). Although SPS is designed for creating intranet portals, it has its own simple content management system and Digital Dashboard tools to customize the user interface. Over time, it is likely that CMS and SPS will borrow from each other’s technologies, especially regarding versioning and workflow support.

FrontPage. Both FrontPage and CMS perform content-authoring functions, albeit for very different publishing and delivery models. However, the user interfaces and tools for page layout might converge over time.

Visual InterDev /Visual Studio.NET. Most organizations that use Commerce Server to build an e-commerce site customize it in some fashion using Microsoft’s development platform, which today is Visual InterDev and which will soon be subsumed within Visual Studio.NET. Eventually, Visual Studio.NET is likely to have access to libraries of prebuilt CMS objects that give developers full access to its functions when creating custom Web applications.

Availability and Resources

NCompass has about 160 employees, most of whom work in Vancouver. All will become employees of Microsoft, including three of the founders, although it is inevitable that many nontechnical employees will eventually be trimmed.

Until CMS ships, NCompass will continue to sell and support Resolution through its existing channel. Any organization purchasing Resolution 4.0 will be entitled to a free upgrade to CMS 2001 when it is released.

For more information on Resolution 4.0 and the Commerce Server Connector, see www.ncompass.com.

For more information on Application Center Server 2000, see "Application Center Aims to Simplify Web Clusters" on page 3 of the Apr. 2001 Update.

For more information on SharePoint Portal Server 2000, see "Tahoe Brings Document Management to the Masses" on page 3 of the Dec. 2000 Update and "SharePoint Portal Server Ships" on page 7 of the June 2001 Update.