Oracle agreed to acquire cloud applications provider NetSuite for $9.3 billion in July 2016, making it the latest in a string of Oracle purchases intended to help the software giant continue its expansion into the cloud. However, the connection between NetSuite and Oracle goes farther back than Oracle's expanded interest in cloud computing. Larry Ellison, Oracle's founder, CTO and executive chairman, was the primary early investor in NetSuite, putting in a total of $125 million to help start up the cloud software pioneer. Founded in 1998 and originally known as NetLedger, the San Mateo, Calif., company grew to a nearly $750 million business in 2015 and reported revenue of just under $450 million for the first half of 2016. Ellison or members of his family still owned about 40% of NetSuite's stock as of early 2016, putting him in line for a payment of about $3.5 billion from Oracle as part of the acquisition.
The question now is whether the deal will also pay off for Oracle, as well as its customers and existing NetSuite users. In this Essential Guide, you'll find news and analysis on the implications of the Oracle-NetSuite deal from several TechTarget sites, plus coverage of earlier Oracle acquisitions and other notable developments in the evolving Oracle cloud strategy.
1What it means for users-
Oracle's plan to buy NetSuite
Oracle's decision to buy NetSuite may have far-reaching effects for both Oracle and NetSuite customers. Oracle is looking to use NetSuite to increase both its customer base and its application capabilities in the cloud, while NetSuite hopes Oracle's sales force will help it reach more users. The big question is what will happen to NetSuite after it has been acquired by Oracle. As with previous Oracle purchases of large software vendors, Oracle said it will continue to invest in both its own cloud applications and NetSuite's; the separate product lines will coexist "forever," it proclaimed. The stories in this section provide more details about the planned acquisition and reaction to it from users and analysts.
The Oracle cloud ERP chase could gain speed, thanks to a $9.3B plan to buy cloud applications vendor NetSuite. The software giant's timing may be good, as more users look to the cloud for ERP deployments. Continue Reading
Oracle has agreed to buy NetSuite but the acquired company will retain autonomy says Oracle Continue Reading
CRM users and industry insiders look at promises and history to predict how Oracle's acquisition of NetSuite's cloud applications might play out. Continue Reading
Industry watchers say the NetSuite acquisition by Oracle provides a needed platform for SaaS ERP applications aimed at the SMB market, but questions remain about overall strategy. Continue Reading
The CRM market has undergone another shift with Oracle's acquisition of NetSuite. Whither NetSuite's fate? Continue Reading
Other recent Oracle acquisitions
The planned acquisition of NetSuite adds another deal to the list of large-scale Oracle purchases, following earlier deals for high-profile companies such as PeopleSoft, J.D. Edwards, Siebel Systems and Sun Microsystems. More recently, Oracle has been steadily buying less-heralded companies that it hopes can help extend its reach and functionality, particularly in the cloud. This section looks at some of those acquisitions and their place in Oracle's market and technology strategies.
Oracle introduces six cloud services to help retailers get to grips with loss prevention, customer engagement and inventory management Continue Reading
Micros Systems sells POS software to major retailers, restaurants and hotels. Why is Oracle interested in that? Maybe, it's about the data. Continue Reading
Oracle is investing in container management technology for Docker through an acquisition of cloud computing startup StackEngine, which provides a platform for managing Docker applications. Continue Reading
The software giant buys New Jersey-based startup Corente to take advantage of its software-defined networking technology Continue Reading
Analysts say Oracle acquired GreenBytes for its deduplication technology, which makes a good fit for a future all-flash array. Continue Reading
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3Developments and trends-
Oracle's expanding cloud strategy
Oracle's cloud strategy has come a long way since founder Ellison mocked the cloud as a passing fad in 2008. Since then, Ellison has belatedly embraced cloud computing; in fact, he dedicated Oracle to an effort aimed at becoming the biggest player in the cloud space. Making that leap has required Oracle to develop new products to face off against incumbent cloud companies. Large Oracle purchases -- such as acquiring NetSuite -- are just one way the vendor is growing its cloud capabilities. The stories in this section examine other Oracle cloud moves.
As Oracle ramps up its new cloud offering, we speak to Shawn Price, senior vice-president for cloud, about the company’s plans Continue Reading
Oracle's four-tier cloud initiative underscores the company's push to put its cloud strategy into action; the vendor hopes at least 20% of its partner base will apply. Continue Reading
Oracle Cloud brings a public cloud feel inside private data centers for customers unwilling to have data beyond their firewall, matching new offerings from IBM and Microsoft. Continue Reading
Oracle encourages nonprogrammers to try their hand at development with the Oracle Application Builder Cloud Service, where they can use business objects to build no-code Web apps. Continue Reading
In a Q&A, John Matelski, president of the IOUG, answers questions about Oracle's cloud strategy and his own organization's business intelligence and big data analytics initiatives. Continue Reading
Oracle Analytics Cloud rounds up a number of the company's business intelligence and big data cloud services. Expert Robert Sheldon takes a look at the cloud analytics platform. Continue Reading
Oracle rolled out more cloud services at OpenWorld 2015, topped by a public cloud addition to its Oracle Cloud Infrastructure IaaS suite that directly targets Amazon Web Services. Continue Reading
With its refreshed cloud services portfolio, Oracle hopes to become a force in the enterprise cloud market. But is it enough to win customer mind share from leader AWS? Continue Reading