Micromuse Inc, the former UK but now US company, is now trading solely as a software operation following its successful flotation on the Nasdaq exchange (CI No 3,350). The San Francisco- headquartered company is describing itself as a service level management software company, having sold its service interests to Horizon Ltd in the UK. When Micromuse was founded as a London- based operation in 1989, it wanted to be a self-funded company selling its own products. But in order to achieve its financial status, Micromuse set about selling other organizations’ products and concentrated on the concept of complexity management. Now, it has completed its first quarter as a public company and is embarking on its aim to become the dominant force in the service level software market. Micromuse decided to change its geographical standing and head to the US in order to gain more credibility and attract greater interest from venture funding operations. It sees its main market being located in the US and felt US companies generally feel happier buying from other US operations. At the moment there are 145 staff at offices in London, San Francisco, New York, Dallas and satellite offices across the US. Micromuse is concentrating on its flagship product Netcol, designed to enable organizations to transparently manage and service their networks effectively. According to Micromuse vice president of Technical Services, Peter Shearan, the company does not really have any competitors, although on paper Tivoli Systems Inc, Computer Associates International Inc and Hewlett- Packard Co are all contenders. But Shearan says the company has actually only lost two sales to these operations. Micromuse’s main customers operate in the telecommunications, financial and internet service provider sectors. It is preparing to launch a product called Internet Service Monitor, designed to enable internet and intranet operators to monitor their sites, insure they are available, that people can access them quick enough, and that visitors are receiving the correct information they desire. The Internet Service Monitor will not just be targeted at the ISPs, but at anyone with a corporate intranet. Micromuse issued 3 million shares in its initial public offering at $12 a piece, they are now trading at around $23 each and Shearan has high hopes for the operation. Although expansion is important for Micromuse, it is not going to build, as Shearan terms a body shop of staff. Instead the company will invest in research and development and concentrate on adding new products to its existing range. Micromuse is due to announce its first quarter results at the end of April.
