December 01, 2011, 6:20 AM — Before tablets, smartphones, and PCs became prominent, "big iron" mainframes led down the path to computing, becoming a staple of enterprise business worldwide several decades ago. Rather than going the way of the dinosaur as PCs and the client/server model emerged, mainframes remain stalwarts in heavy-duty transactional applications. "The mainframe is alive and well and still powers the global economy," says Dayton Semerjian, general manager for mainframes at CA Technologies, which focuses on mainframe technologies. He notes that 80% of the Fortune 500 still use them.
But many mainframe personnel are set to retire in coming years, and fewer students interested in learning how to work with these systems. That could lead to a skills shortage for managing and maintaining the mainframes that run so many critical applications.
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The mainframe's staying power in the age of tiny computers is all about its performance for high-volume transactions and its strengths in security and virtualization. The superiority of the platform "has remained unmatched," says Semerjian.
Mainframes are being used for core business processes within financial services, banking, and health care, says Paul Vallely, a sales director at Compuware, which offers mainframe applications. They also are becoming useful in cloud computing, he adds: "The mainframe is turning into a giant data server to be able to provide cloud applications with information they need."
Mainframe skills are on the minds of enterprises. A Compuware survey of 520 CIOs in large enterprises found that 71% are concerned that this looming skills shortage will hurt their businesses, with applications and productivity at risk. After all, 78% said mainframe applications will remain a key business asset during the next decade. And the price for not having the right IT resources is huge: One minute of mainframe outages can cost nearly $14,000 in lost revenue for an average enterprise, Compuware said.