Will Gates' Tablets Soothe Tech's Upset Stomach?

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Tablet PC's aren't really revolutionary either, but will they be a technology that works? Launched on Thursday, Windows XP Tablet PC edition promises desktop computing power and connectivity in a portable and friendly form-factor. Yes, you've heard that before. But with a half dozen major manufacturer's pushing Tablet hardware, and the considerable clout of Microsoft behind it, Tablets are here to stay. David Strom tried one out two weeks ago, with mixed results, but solution providers at Tech Data's conference this week were optimistic, and Microsoft executives were already promising improvements for the next version.

Whatever their prospects, at least Tablet PC's shake things up a bit. "It seems as if someone in the industry has hit the pause button," according to VARBusiness Robert DeMarzo, in terms of technical innovation.

Faced with this dearth of new innovations to sell, solution providers are adapting by creating new technology themselves. That's one of the conclusions in VARBusiness' State of Technology report. With low hardware margins and vendor competition in services, solution providers are upgrading their capabilities to include custom software development and implementation, along with consulting and other business services. You'll find all of VARBusiness survey results here, including such tidbits as solution providers top technologies, leading processor platforms, and favorite web software.

The Defendent Is Free To Go

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Even before the Tablet PC launch, it was a good month for Microsoft. Last Friday, a federal judge approved the antitrust settlement between the company and the U.S. Department of Justice, turning down requests from nine state attorneys general for harsher remedies. Response in the channel was mixed, unsurprisingly. The company will continue to face issues with other civil suits, and from European regulators. Follow the endless action in our MS/DoJ News Center.

Palmisano's Plan

IBM CEO (and, come January 1, chairman) Sam Palmisano is hard at work steering the computing giant in a new direction. His new strategy, "e-business on demand," envisions the company providing computing power "on tap," much as utilities provide water or electricity. And he's promising to spend up to $10 Billion to make it happen. No word yet on how (or if) solution providers will fit in.

Best of the Week

New products: Intel launched it's Xeon MP server processor; while Palm came out with it's "enterprise class" Tungsten handheld line. Sun relaxed Java licensing requirements while the Wi-Fi Alliance relased an upgraded security standard. Cisco's quarterly earnings did little to encourage investors.