IBM Sees a Break in Cloud Technology

IBM (IBM Quote) took a swipe at Google (GOOG Quote) and Cisco (CSCO Quote) Monday, launching a set of services for sharing information over the Web, scheduling meetings, and developing online social networks.

This so-called cloud technology, dubbed Bluehouse, uses IBM's Tivoli, Lotus, and Rational software to send files across corporate firewalls and set up online meetings. The beta version of Bluehouse, which is available now, also lets users build networking communities through a Web browser.

IBM is keen to open up new revenue streams by merging its existing products into services that tap into the growing popularity of what is called the Web 2.0 era. Earlier this year, for example, Merrill Lynch estimated that cloud computing represents a $95 billion market in business and productivity applications.

"IBM's broad technology expertise in processor and systems design, software and services positions it well for a shift toward Cloud infrastructures," wrote Merrill research analyst Kash Rangan. "IBM also brings advanced software management features through Tivoli and its Service Oriented Architecture (SOA) initiatives."

IBM shares have taken a pounding recently amid a slowdown in tech spending and concern over the wider economy. The stock was recently trading down nearly 5% to $98.57. It's now down about 25% in less than three months.

IBM is touting Bluehouse as a way for firms to collaborate with partners, suppliers, and customers at a time when users are looking for more cost-effective ways to share information. The company, which is offering online storage as part of the strategy, is also firing a shot across the bows of Cisco and Google.