MBA Notes : IT Infrastructure and Emerging Technologies

Today I begin a new module in my Management Information Systems (MIS) graduate course. We’re studying IT infrastructure and emerging technologies, very important these days. So what is IT infrastructure ? Hardware, software AND services, which can mean consulting, education, or training. 

In the world of finance 50% of capital investment is IT infrastructure. It’s a necessity in business today.

Our text is basically giving us an outline from 1959-2014 on the history of IT infrastructure. I will outline it for you here.

1959 – IBM introduces the 1401 and 7090 transistorized machines. In 1965, the original commercial computer is introduced, the IBM 360 series which sweeps in the era of centralized information.

(In 1965 Gordon Moore introduced “Moore’s Law”, which states that microprocessors will become twice as powerful every 18 months and the same for computing power. He also predicts that the price of such technology will decline by 50% every 18 months)

1981 – The personalized computer (PC) begins. Xerox Alto, MITS Altair 8800 and the Apple I and Apple II are out. Distribution is limited to computer enthusiasts. These machines run on DOS operating systems (OS), a text-based command language.

1992 – The entrance of enterprise computing integrates disparate networks and applications throughout a firm to create an enterprise-wide infrastructure. In 1995 the internet becomes mainstream.

2000 – Cloud computing comes along. Cloud computing gives enterprises access to a shared pool of computing resources over a network (usually that network is the internet). The price of digital storage has fallen by 99.9% per year. (annually)

The text then goes on to explain the business value in continuing to invest in IT infrastructure. As an MBA student we are taught that you don’t have a competitive advantage if your competitor has the same advantage you have. So if you have the fastest internet connection in New York state, but now competitor X and Y have that connection, guess what? You don’t have a competitive advantage anymore. That’s why businesses need to be on top of emerging technologies.

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