I ran across the following link to the newest Gartner Group Thin Client Study: Citrix Systems and Thin-Client Platforms for Windows P. Lowber (06 June 2002) Citrix MetaFrame has dominated Windows Terminal Server deployments, but high license costs are causing some users to reevaluate Citrix and consider alternatives. http://www.gartner.com/reprints/newmoon/107326.html Note: It costs $95 to see it on Gartners main website. This link is free. I have included the content below. _________________________________________________________________________ Core Topic Computing Platforms ~ Hardware and Systems Key Issue What are the key technologies in each computing hardware platform market, and how will they affect the market? Strategic Planning Assumptions Through 2002, more than 75 percent of WTS deployments with more than 200 active users will use Citrix MetaFrame (0.8 probability). Through 2006, more than 70 percent of enterprises with more than 1,000 active users and 100 applications will use WTS with Citrix MetaFrame, but only 50 percent with fewer than 1,000 active users and less than 50 applications will use Citrix MetaFrame with WTS (0.7 probability). ---------------------------------------------------------------------------- ---- In 1Q02, we saw an increasing interest in alternatives to Citrix Systems among enterprises that are pursuing thin-client, Windows Terminal Server (WTS) deployment strategies. These organizations like WTS and Citrix, but are finding it difficult to justify the additional license price of Citrix MetaFrame in addition to Microsoft's WTSs, especially given the improvements in Microsoft's Remote Desktop Protocol (RDP) and when compared with lower-priced options from other companies, such as New Moon Systems, or Novell's thin-client solution. Analysis Citrix has dominated the WTS market with MetaFrame. We estimate that more than 70 percent of WTSs ship with MetaFrame, most of which are for deployments of more than 200 active users. We expect Citrix to continue to dominate large and complex deployments. However, we also expect the percentage of WTS shipping without MetaFrame to increase as enterprises with smaller, less-complex deployments choose WTS with RDP. MetaFrame, which uses Citrix's Independent Computing Architecture (ICA) a thin-client protocol, for accessing WTS, offers substantial added value for its server farm management features and for ICA's robust features. MetaFrame will continue to dominate large deployments, but it is not needed in every case. The marketing prowess of Citrix resellers has helped create a perception that MetaFrame is required where sometimes it might not be. Where and Why Citrix Is Needed Many enterprises are expanding their thin-client Windows deployments, which will likely increase their reliance on Citrix. MetaFrame's value increases as the complexity of deployments increase (number of concurrent users and number of applications). MetaFrame XP's ability to centrally manage dispersed or distributed server farm deployments enables enterprises to consolidate their deployments worldwide, thus lowering the cost of server farm management. Citrix load-balancing, resource and installation management tools enable administrators to dynamically install, group and manage applications across servers and server farms. MetaFrame XP Feature Release 2 (FR2) extends the multifarm load-balancing capability to NFuse Classic 1.7. MetaFrame also secures access over the Internet. ICA 6 supports Secure Sockets Layer (SSL), and the Citrix Secure Gateway (CSG), included with MetaFrame XP, provides end-to-end SSL encryption from the desktop to the particular application, and also provides digital certificates on the terminal server (which prevents an intruder from rerouting a user's session from the server). MetaFrame XP FR2 extends CSG's capability with support for secure proxy servers. Microsoft's RDP does not support SSL (but does offer RC4 encryption) and does not offer the end-to-end security features of CSG. However, Aspelle Everywhere provides secure access through the Internet (via SSL support for RDP). The Citrix ICA thin-client protocol also supports full 16-bit color, local serial port devices, audio output and smart card login (with FR2) - features RDP 5.1 will support when .NET Server ships by year-end 2002. (RDP 5.1 will require .NET Server and Terminal Services.) ICA can support computer-based training because it can shadow multiple sessions to multiple users, whereas RDP only supports sessions shadowing to a single user (appropriate for remote support, but not for computer-based training to multiple users simultaneously). ICA also supports Windows and non-Windows (Unix and Macintosh) desktops. Microsoft licenses RDP to third parties for non-Windows platforms. Currently, there are no shipping licensed third-party RDP clients, but we expect this to change before year-end 2002. Citrix License Costs As we have noted in previous research, with the improvements it has made to RDP's performance, Microsoft's WTS (without MetaFrame) is good enough for most deployments over low-bandwidth networks with fewer than 200 active users, assuming there are only a few applications and no requirement for a particular feature supported by ICA but not by RDP. More recently, some enterprises with larger deployment plans have begun actively pursuing alternatives to Citrix because of the perceived high license costs of MetaFrame XP and the license cost of migrating from MetaFrame 1.8 to MetaFrame XP. The migration is relatively trivial, but the license costs for MetaFrame XP are causing some Citrix customers to hesitate (see "Citrix MetaFrame XP: More Scalable, but More Expensive," FT-13-0933). Unless forced to by competitive pressure, Citrix is not likely to adopt aggressive pricing. The company reported a 7 percent revenue growth for 1Q02, and projected flat revenue growth for the remainder of 2002. Citrix is under pressure to grow its revenue this year, as its license agreement with Microsoft expired in May 2002. In return for the Citrix MultiWin (multiuser Windows) source code that Microsoft implemented (with Citrix's support) for Windows NT 4.0 Terminal Server Edition and integrated with Windows 2000 Server Terminal Services (and also for .NET Server), Microsoft paid Citrix $175 million in royalties. Citrix has been recognizing this revenue in its balance sheet every quarter since 1998 through 2Q02 (averaging about $35 million a year from 1998 through 2001). In May 2002, Microsoft agreed to give Citrix access to source code for the next three years of releases of its Windows server operating systems. There are no financial terms. The new deal guarantees only that Citrix will have access to the source code. This is an important symbolic gesture by Microsoft, demonstrating its continued recognition of the value Citrix offers to WTS. Citrix will be able to respond in a timely manner with enhancements to MetaFrame for new releases of Microsoft's operating systems. What Are Some Other Options? For thin-client deployments focused on Windows, the main alternatives to using Citrix MetaFrame are using Microsoft WTS with RDP alone, using WTS with RDP and Canaveral iQ software from New Moon Systems, or using Novell OnDemand Services with Microsoft's RDP or Citrix ICA. For thin-client deployments in heterogeneous environments (requiring access to Unix x-Windows, mainframe 3270, AS/400 5250 and Windows applications), we recommend that enterprises consider Tarantella's platform. Table 1 shows the comparative license fees (nondiscounted, list price) for WTS add-ons or alternative products. We show list price here because it is the only way to make an objective comparison. However, every real situation involves a discount, and discounts will vary from vendor to vendor and from situation to situation. Enterprises can expect at least 30 percent discounts from list price; for more than 2,000 licenses, the discounts should be above 50 percent. Competitive situations will bring higher discounts. Table 1 Comparative License Fees * Vendor Product License Fee, List Price Nondiscounted (including annual maintenance ), US$ Citrix MetaFrame XPe for Windows (with Load Balancing, Resource and Installation Management) $400 per active user Citrix MetaFrame XPa for Windows (with Load Balancing) $345 per active user Citrix MetaFrame XPs for Windows $290 per active user New Moon Systems Canaveral iQ $205 per active user Novell ODS $99 per active user *Note: All prices are in addition to Microsoft's Terminal Server Client Access Licenses, which are licensed on a per-device user Source: Gartner Research Citrix will continue to dominate WTS deployments with more than 200 active users and more than 10 to 15 applications, but smaller, simpler deployments will increasingly use alternatives. The key added value for Citrix continues to be its proven ability to: Provide efficient, easy access to applications in complex deployments Manage complex deployments with application-based load-balancing and application installation tools Consolidate distributed or dispersed WTS deployments Integrated secure remote access (with no additional cost) New Moon Systems New Moon is a small, private company with a product called Canaveral iQ that offers added value to WTS with RDP. Canaveral became generally available in late 2001. The company has only a few references with production deployments and building a distributor/value-added reseller channel. New Moon is primarily targeting deployments of up to 500 active users, but it has won a few customers with plans for deployments of up to 2,000 to 3,000 active users. Citrix MetaFrame has more features than Canaveral iQ, such as application installation and management (across the server farms) and better security (with Secure Sockets Layer for ICA), but Canaveral iQ is a simple, cost-effective alternative to MetaFrame XPa for many small-to-midsize deployments. Using WTS with RDP alone may be appropriate for small deployments (fewer than 200 active users), but tools for managing the server farms (which are not offered by Microsoft) can lower total cost of ownership for large deployments. New Moon Systems provides provisioning and load-balancing tools for WTS with RDP. Canaveral iQ, like Citrix MetaFrame with NFuse, can publish WTS (with RDP) applications to a Web page, and users can access these applications through a browser. New Moon enhances RDP with local file saving, seamless Windows and universal print driver (UPD) support for local printing. Citrix has the same features with ICA. UPD greatly simplifies the printer management issue with WTS by eliminating the need for administrators to install and maintain print drivers for each printer. Like Citrix MetaFrame XP, Canaveral iQ is integrated with Active Directory, setting up user and group accounts. Because it adds features to RDP, New Moon requires client installation of its Canaveral iQ (RDP-based) thin client, available now for any Windows 9.x, 2000 or XP desktop, and by mid-July 2002 for any Wyse Winterm Windows CE-based model. Future releases of RDP and Canaveral iQ will have enhancements that will broaden their appeal. Using New Moon is not without risk. A small start-up with only a few customer deployments so far (but with a growing pipeline), there is no guarantee that New Moon will survive. However, the company has momentum, and it will continue to attract customers frustrated by Citrix license costs. Novell OnDemand Services (ODS) Novell ODS is a Web-based provisioning tool for WTS or Citrix MetaFrame (which can be used with ICA and RDP server-based applications). Novell acquired ODS technology with its acquisition of Novetrix in February 2001. Integrated with Novell's eDirectory, ODS manages and publishes the server-based applications from the directory, and also offers usage tracking for billing purposes. In addition, ODS supports load balancing and enables the publishing of WTS-based applications to a Web page with browser access to these applications. Authentication is provided through Novell's iChain, but the security for RDP is based on Microsoft's RC4 security for RDP. With ZENworks 4.0, the NetWare client is no longer required for ZENworks for Desktops or for ODS. ZENworks 4.0 integrates the management of fat and thin Windows applications. Novell's ZENworks Synergy is the integration of ZENworks 4.0 (scheduled for availability by the end of June) with Novell's Portal Services. Enterprises can deploy server-based or desktop applications with a common user interface and a unified management infrastructure. This is a powerful capability that is not offered by any other vendor. Weak marketing has contributed to ODS' lack of visibility. ODS only has a few references. However, we recommend that enterprises with Novell's eDirectory installed consider using ODS with WTS or Citrix MetaFrame. Other Scenarios Application deployment systems from vendors like Softricity (which has integrated its platform to run with Citrix MetaFrame) and AppStream can simplify management and deployment of client-side applications. We will discuss these technologies in future research. Related Research/Recommended Reading "Citrix MetaFrame XP: More Scalable, but More Expensive," (FT-13-0933) "Windows Terminal Services Is Improving; So Is MetaFrame," (T-13-6250) "Citrix at a Crossroads," (C-12-6960) ---------------------------------------------------------------------------- ---- Acronym Key CSG Citrix Secure Gateway FR2 MetaFrame XP Release 2 ICA Independent Computing Architecture ODS Novell's OnDemand Services RDP Remote Desktop Protocol SSL Secure Sockets Layer UPD Universal print driver WTS Windows Terminal Server ---------------------------------------------------------------------------- ---- Bottom Line: Citrix MetaFrame is a strong product with a full feature set - in some cases, more than an enterprise might need. We believe there is an opportunity for WTS deployments with fewer than 500 active users and less than 20 applications to consider less-expensive alternatives. Competitive evaluations will provide more options, and competitive pressure will result in better discounts from Citrix, should a Citrix solution be chosen. Enterprises have the option of starting a WTS deployment without Citrix and adding Citrix MetaFrame as their deployment becomes bigger and more complex. ---------------------------------------------------------------------------- ---- This document has been published by: Service Date Document # Internet Strategies 6 June 2002 M-16-1549 =================================== This weeks Sponsor: triCerat, Inc ScrewDrivers fxp: Self Configuring Printer Driver with Bandwidth Control Learn more at: http://www.tricerat.com/?page=products&product=sdfxp =================================== For Archives, to Unsubscribe, Subscribe or set Digest or Vacation mode use the below link. http://thethin.net/citrixlist.cfm