IBM Japan Ltd is set to hand over its open systems software distribution to Lotus Development Japan Ltd, following a drop in sales of Lotus products, according to the Nikkei BI news service. Lotus will distribute software for RS/6000 and PC servers and desktops, as well as the DB2 database and Tivoli TME systems management products, claimed the service. Previously, the job was done by another IBM subsidiary, EncycloSoft Co Ltd, which will now be responsible only for AS/400 software and third-party products from the likes of Oracle Corp and Microsoft Corp. The move is intended to integrate Notes and IBM product distribution under a single ordering and discount scheme. Sales at Lotus Japan, not officially broken out by IBM, are thought to have dropped between 20% and 30% in the first six months of the year compared with the same period last year, largely due to declines in the groupware office products.