Kern added that Sony Computer Entertainment Australia is a great example of 'componentization'. With only 50 staff the company was able to identify what it is good at and capitalize on it.

"the company said it is good at business operations, sales and marketing and then found others to link to for logistics and developed a highly specialized business model based on componentization," he said.

Gartner predicts that over the next couple of years, 80 percent of technology transformation will use SOA.

Warrick Liang, head of IT service for the NZ Accident Compensation Corporation, was less enthralled about the promise of cutting costs through SOA than he was with the fact IBM seems to have 'taken its own medicine'.

"I have 2500 staff and we have problems with competing activities to cut costs when it comes to doing things cheaper and faster. You cannot be overawed by the fact this is what IBM has done, and apply the lessons to your own scale," he said.