Oracle kills SAP frequently buys coveted cloud services market

"The computer industry is the only industry that is more likely to be driven by fashion than female fashion. Maybe I'm an idiot, but I really don't understand what these guys are talking about. What is this stuff? It's all nonsense, crazy words. What's the point of this madness? Oracle CEO Ellison was so cynical about cloud computing at a customer conversation.

Is the so-called "Shing", from this taunt only 3 years ago, the past to ignore the cloud Oracle is now staged "face", not only in the cloud business related to the acquisition of companies frequently exerting force, but also to their opponents sap step by step.

Oracle agreed to buy online recruiting software provider Taleo for about 1.9 billion dollars to strengthen its cloud HR applications, the IT Business News network learned.

Oracle issued a statement: Taleo promises to provide Oracle with a cloud stack for managing human resources and careers. The Taleo board has agreed to the deal and is expected to complete the deal by the middle of this year.

Industry analysts believe that the acquisition is Oracle in the field of cloud computing in the latest big investment, but also for the competitor SAP plan to buy successfactors 3.4 billion dollars quick response.

Although Oracle has lagged behind SAP in selling traditional software, it is the "novice" in the cloud computing field that Ellison has never seen before, and they are in the same starting line, what kind of spark will the two sides be able to wipe out?

Apple and Samsung count on each other, and who will not let go of the strangers, then, in the software services market, Oracle and SAP are similar to each other.

Oracle and SAP have been having some sort of delicate partnership, and SAP has been saying in the future that they might authorize its Hana platform to its main rival, Oracle.

McDermott, CEO of SAP, said it was possible that the question was whether Oracle would think so.

In his view, if a technology platform is not open to partners or even competitors are not a real platform. "Cisco, Dell, Fujitsu or HP partners have cooperated on our Hana technology and we are fully open." "McDermott said.

It is worth mentioning that Oracle and SAP are not so "friendly". Oracle has recently declared that it has rejected a court decision to provide as much as $272 million in compensation for SAP and has asked for a further trial.

In fact, the lawsuit has lasted 5 years. As early as November 2010, SAP was asked to compensate oracle for 1.3 billion dollars for stealing Oracle's software and customer support documents, but last September a US federal judge lowered the figure by more than $1 billion and Oracle called for a new round of trials.

The industry believes that in the face of this once-in-a-lifetime "ascendancy" of the opportunity to slaughter, a bone does not seem to want to "cheap" opponents. Instead, it is hoped that by further investigation of SAP to obtain higher compensation, but also to make SAP again, can be said to be a king.

Step by step to compete for cloud service market

Oracle has been aggressively adding cloud-based software products over the past few years, and the acquisition Taleo is one of the few obvious gaps in Oracle's product line. And just last month, it has just spent 1.5 billion of dollars to buy cloud services RightNow Technologies to help companies provide customer service.

The reason for this frequent force, in addition to cloud computing is the general trend, competitors SAP performance can not let it ignore.

SAP recently claimed a premium of $3.4 billion (equivalent to £ 2.17 billion) to buy the US internet services company SuccessFactors, agreeing to a price of $40 per share and a 52% premium.

It has to be said that this price is eight times times the estimated income of SAP in 2012, is 5.5 times times the price that Oracle pays to RightNow. While the two sides are wrestling with cloud computing, SAP risks losing its chances to Oracle.

But foreign analysts generally believe that cloud computing is a rapidly growing area of remote managed data and programs in the network, and at first glance the price of SAP is very high, but the deal will help the SAP cloud computing industry to catch up with other peers in the frenetic competition, which could spark competition from cloud-related companies.

Tangqiuyong, general manager of Hroot, said in a microblog that Oracle's acquisition of the "HR most wanted to blow up" Taleo was a response to last month's SAP acquisition of SF, and from human resources management software into the cloud-and SaaS-based talent management software market. Despite the rapid growth of the talent management software market, Oracle and SAP two giants have now wiped out the market's two largest companies through acquisitions, just as two dinosaurs entered a small pond, and other companies have had a hard time.

(Responsible editor: The good of the Legacy)