The Acquisition Machine Heads To The Public Cloud
Users collected during a Customer Summit 2011 during a Broadmoor Hotel woke adult to a intolerable proclamation that Oracle (NASDAQ: ORCL – News) announced a $1.43B partnership of heading SMB CRM businessman RightNow Technologies (NASDAQ: RNOW – News) today. According to Thomas Kurian, “Oracle is relocating aggressively to offer business a full operation of Cloud Solutions including sales force automation, tellurian resources, talent management, amicable networking, databases and Java as partial of a Oracle Public Cloud,” pronounced Thomas Kurian, Executive Vice President, Oracle Development. “RightNow’s heading patron use cloud is a really critical further to Oracle’s Public Cloud.”
A discerning research of a partnership reveals:
- Oracle sees RightNow as an anchor in a open cloud strategy. RightNow signals a initial of many acquisitions foundational to a marketplace place strategy. CRM plays a pivotal role. Bozeman, Montana formed RightNow brings over 2000 customers, and 10 billion exchange per year in volume. In fact, Kurian’s press matter hints during other areas that embody anything from infrastructure to apps.
Point of View (POV): Oracle’s success in a open cloud will need some-more than only a multi-instance virtualized cloud offering. The miss of loyal multi-tenancy will infer to be a wreckage to both business and Oracle. Oracle will need to broach a multi-tenant chronicle of Fusion Middleware to yield business with a full operation of deployment choice choices from on-premise, hosted, multi-instance, and multi-tenant. However, investors and business should perspective a open cloud as some-more than an charity or record play. In fact, this is Oracle’s new partnership and partnership vehicle.
- Oracle pokes during Salesforce.com on a patron use side. While Salesforce.com would many expected not acquire RightNow, Oracle brings on a pivotal patron use aspirant to Salesforce.com and aligns it with a Oracle sales and selling machine. Meanwhile, Oracle gains an rising web knowledge and amicable knowledge product line to element a strong hit core and plain patron knowledge suite.
Point of View (POV): With many of RightNow’s business entrance from a patron support side of a house, Salesforce.com will feel a feverishness in a marketplace place. Despite a Assistly acquisition, Salesforce.com still has a lot of work to pierce a Service Cloud charity to standard with competitors. Quite frankly, this is a approach conflict by Larry Ellison to Marc Benioff in this space.
- Oracle skeleton a prolonged tenure patron knowledge play. Oracle’s prior acquisitions of FatWire, Endecca, ATG, and Sigma Dynamics vigilance a intensity play to get critical about patron knowledge management. Oracle will need to re-purpose resources to a core CRM group to share in a innovation.
Point of View (POV): Social business, online knowledge optimization, and gamification paint outrageous holes in Oracle’s product portfolio. RightNow brings extensive amounts of suspicion care to a list should Oracle keep a product teams. More importantly, a SMB concentration will assistance Oracle move in a new patron base.
The Bottom Line
Does this proclamation warn you? Are we a RightNow customer? Will we be prepared to make a jump with Oracle? What has your knowledge with Oracle been post acquisition? Add your comments to a blog or strech me around email: R (at) ConstellationRG (dot) com or R (at) SoftwareInsider (dot) com.
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