Microsoft .NET (pronounced "dot net") is both a vision for how software should be written, and a set of tools for developing software that realizes this vision. To illustrate the driver for the Microsoft .NET vision, let's look at the common business problems of connectivity and interoperability: Most businesses cooperate with other businesses, yet their information systems operate in isolation. Product supply chains are not integrated across vendors; communication between supplier and purchaser is often limited to facsimile or simple text file exchange. This is often seen as a barrier to productivity improvements. When businesses become more connected, they can achieve greater efficiency. When every vendor in a supply chain is connected to each other, each can keep inventories at minimum, manufacture on an as-needed basis, and coordinate with greater efficiency.
Related to this is the issue of interoperability. Once businesses make the commitment to connect to each other, they are faced with the difficult engineering task of designing and implementing the connection when the cooperating systems are in different states of re-development or ongoing change. Added to this is the complexity of securing data as it is passed through corporate firewalls and exchanged with data from partners that are also competitors.
The Microsoft .NET vision is to better enable this capability: to make it simple to write systems that securely connect and interoperate with each other any time, any place, and on any device. The central technology for enabling this is XML Web services. This technology is both a methodology and transport layer for passing information between components on different machines, different networks, and different operating systems.