The Journal of



New England


Technology

High Tech


www.masshightech.com



Sept. 13 - 19, 1999


Volume 17, Issue 37


CCA sees a future in commitment to its mainframe database products


By Colin C. Haley staff writer

While some software companies reinvent themselves weekly to capitalize on the latest trend, Computer Corporation of America (CCA) remains true to its purpose: to provide flexible, high-volume database systems for mainframes.

The Framingham-based company was founded in 1965 by Thomas Merrill, a psychologist who wanted to use mainframe computers (which until then were little more than refrigerator-sized calculators) to manage reams of clinical data.

The National Security Agency wanted a similar system to keep its records, and bankrolled CCA's research and development efforts. By the early 1970s, CCA put its database manager on the U.S. commercial market for the first time.

Since then, the company has enjoyed steady growth. It went international in the mid-1980s with its flagship Model 204, a database system for IBM 370 and 390 mainframes, which handle millions of records and thousands of concurrent users.

"We've been successful by concentrating on our core competencies," said Marie Kelly, a spokeswoman for the privately held, Framingham-based company.

The company employs 119 full-time workers, most of them in Massachusetts. It posted revenues of more than $32 million last year, and though it does not release earnings information, it says it is profitable, and does not foresee a need for venture funding or a public offering.

But while CCA makes software for mainframes, it is not mired in the past. The company has developed several products to link databases and e-commerce operations.

WebGate allows users to access data through the Internet; MarketPulse Analytics is a sales package that crunches data. MarketPulse can also run under Windows 95, Windows 98 or Windows NT platforms.

CCA's software is used by a range of customers. Roadway Express Inc., an Akron, Ohio-based freight company, uses CCA systems to store and track nearly 60,000 shipments a day. Each transaction includes names, addresses, weight and number of pieces.

The 20,000 staffers at the Australian Commonwealth Services Delivery Agency, the country's equivalent of the U.S. Department of Health and Human Services, also use CCA software. CCA is working to make the system even more personalized and self-service oriented.

Other customers include the Texas Department of Mental Health and Mental Retardation and West Chester University, a school just outside of Philadelphia.

Chris Ramsdale, CCA's director of strategic products and planning, said the new offerings have allowed the company to expand its business with existing customers. He calls the e-commerce aspect a "green field" opportunity.

"It still comes down to a need for high-capacity systems," Ramsdale said.

In addition to the budding e-commerce opportunities, CCA also envisions years of strong sales for its mainframe workhorse. Sales of IBM and Hitachi Corp.'s mainframes have never been stronger, Ramsdale said.

Analysts see that as a positive sign for CCA, too.

"The company's faith in the continued deployment and use of the mainframe looks to be justified, considering that predictions about the mainframes' lifespan appear to be lengthening rather than shortening," David Burman, an analyst with the England-based Butler Group, wrote in a recent review of CCA's products.

The only issues Burman had with CCA were its database engine's availability only for the mainframe, and the tendency for some large corporations to shy away from doing business with smaller information technology vendors.


Reprinted with permission. All rights reserved. Mass High Tech 1999.

Copyright © 2003 Computer Corporation of America.
All right reserved. Published in the United States of America.

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