It is not possible for relational database systems to process data independently of its context. Therefore the demands of electronic businesses are not met. Traditional databases cannot handle audio, video or complex data. But XML databases support these kinds of data without any trouble. Problems are solved faster and there is an improvement in performance.
XML is used for the following reasons:
1. Self describing data
Business applications have tasks other than just presenting the content. XML is therefore used because there is complete data usability as well as proper presentation of data. XML is thus preferred over traditional database systems.
2. Integration of traditional databases and formats
XML documents support all types of data; classical(text, numbers),multimedia(sounds),active formats(java applets, active x components).
3. Data presentation modifications
XML style sheets can be used to modify documents or websites without modifying the actual data.
4. One Server view
Data from different databases and multiple servers can be a part of an XML document. That is, the whole WWW is converted into one database.
5. Internationalization
Multilingual documents and Unicode standards are supported by XML. This is important for electronic business applications.
6. Open and extensible
The XML structure is adaptable and can be modified to match industry specific vocabulary. Users can add elements when needed.
7. Future oriented technology
The W3C has endorsed XML, which is supported by major software providers. It is also being used in an increasing number of industries.