The System z10 Business Class (z10 BC), announced Tuesday and generally available now, follows in the tradition of IBM refreshing its primary mainframe product and then following up several months later with a stripped-down, cheaper version, says Forrester analyst Brad Day. But the so-called "baby mainframe" is a pretty strong machine on its own, and lets IBM compete more aggressively against various RISC and Itanium-based servers as well as high-end x86 and x64 machines, Day says. ()

"This is a Paul Bunyan version of the baby mainframe," he says. IBM is clearly making a move against vendors like HP, Sun and Fujitsu who are targeting legacy customers with mainframe migration programs, Day says.

IBM has optimized the mainframe for Linux, and Novell to fix bugs and ensure that all drivers run solidly with the Linux operating system, says System z marketing vice president Karl Freund. IBM executives also decided the mainframe simply wasn't cheap enough to convince customers to run new Linux workloads, he says. 

IBM lowered by 50% the cost of a specialty engine that lets the business-class mainframe run Linux, bringing the price of this add-on capability down to $47,500, according to Freund. Application servers, and Web servers will probably be the most common Linux applications to run on the new business-class machine, he says.

"We're continuing to make the mainframe more mainstream, more interesting to new customers, and more interesting to medium-sized businesses," he says.