Monday, June 22, 2009

Oracle vs Sap

http://www.bloomberg.com/apps/news?pid=20601085&sid=a012K7CVKerA

Seems SAP is losing business to Oracle. Larry's strategy of buying a whole lot of small(and sometimes big) companies have helped Oracle to provide a diverse set of products to their customers.

For e.g. the upcoming Oracle Fusion Middleware 11g is supposed to have a lot of applications, some of which are provided free of cost.If any customer starts using a free product like say Oracle Discoverer, a ad-hoc query and BI tool and starts to like it, he/she is not going to buy any specific best of breed applications from other 3rd party vendors.

The maintenance for such applications are covered in the maintenance contract for the whole application suite and hence it is cost effective for companies not to buy new specific best of breed products from other companies.

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