• Chart: BizTalk Server 2004 Accelerators and Adapter

Retailers and consumer product companies are the targets of a new partner add-on for BizTalk Server, Microsoft's application integration product. Offered through Microsoft's Web site, the Cactus Global Data Synchronization (GDS) Accelerator for BizTalk Server 2004 enables suppliers to electronically distribute and update product item catalogs for retailers. The accelerator particularly benefits companies trying to meet the mandates of large U.S. retailers such as Wal-Mart, Target, and Lowe's. However, by promoting Cactus's accelerator rather than building its own, Microsoft is also signaling an increased reliance on its partners to win business for BizTalk Server in vertical markets.

Synchronization for Supply Chains, RFID

Like all BizTalk accelerators, the Cactus GDS accelerator delivers a set of add-on components to support a data interchange standard—specifically, a standard for GDS. GDS is a process by which suppliers (such as Energizer, a Cactus customer) electronically distribute standardized product item catalogs and updates to retailers (such as Wal-Mart). The process is one of many required in order to support supply chain integration in retail and is a prerequisite for implementing Radio Frequency ID (RFID) product labeling.

Using the Cactus GDS accelerator, a supplier or retailer maintains a local "central item consolidation" database of product information on SQL Server. This database is periodically synchronized with the company's trading partners through UCCNet, a GDS hub network operated by a subsidiary of the Uniform Code Council (UCC), which standardizes U.S. product codes. UCCNet is part of a larger effort between the UCC and the related European Article Numbering (EAN) organization to design a worldwide GDS network.

For the UCCNet synchronization process, the accelerator delivers BizTalk message schemas, orchestration components, and an AS2 protocol adapter. (AS2 is a draft Internet protocol for transmitting signed and encrypted business documents as HTTP Web traffic.) Retailers or suppliers can extend the accelerator to support their own processes for managing product catalogs (for example, processes for approving the addition of new products). The Cactus GDS accelerator also provides administration tools and a user interface for manually entering product information, among other features. It runs exclusively on BizTalk Server 2004.

Leaning More on Partners for Verticals

The Cactus GDS accelerator is unusual: Microsoft is promoting it alongside other accelerators that were developed in-house. (See the chart "BizTalk Server 2004 Accelerators and Adapters".) According to Microsoft, it will generally tap partners for vertical add-ons to BizTalk Server, rather than creating its own. Now that BizTalk Server has a customer base in strategic vertical markets such as finance and healthcare (thanks in part to Microsoft's own accelerators), Microsoft appears more willing to let partners lead BizTalk Server efforts in new verticals, even large ones like that served by the GDS accelerator.

Microsoft is taking additional steps to attract partner ISVs to BizTalk Server. Most notably, it has added a discounted BizTalk Server run-time license to its ISV Royalty Program, which enables ISVs to resell Microsoft software with their own products. With the new run-time license, an ISV similar to Cactus can deliver its own product along with substantially discounted licenses for BizTalk Server, although the BizTalk Server licenses must be used exclusively with the ISV's product. For the ISV's customer, this is often more convenient and less expensive than licensing BizTalk Server separately, most likely at a less attractive discount level than that offered to the ISV. Full BizTalk Server licenses were previously available in the ISV Royalty program, but the new run-time license offers lower cost in return for greater restrictions on usage.

Microsoft might still create future BizTalk accelerators on its own, rather than relying on partners. In particular, it might jump in with an accelerator to serve a large global or national market with well-defined standards and a strong mandate for standards adoption. But there appears to be greater opportunity now for partner accelerators with BizTalk Server 2004 than with earlier versions.

BizTalk Server accelerators, including the Cactus GDS accelerator, are listed at www.microsoft.com/biztalk/evaluation/accelerators.

The Internet Draft of the AS2 protocol is at www.ietf.org/internet-drafts/draft-ietf-ediint-as2-20.txt.

The ISV Royalty Program and other partner programs are explained in the Apr. 2005 Directions on Microsoft Research Report, "The 2005 Guide to Microsoft Programs for Partners."