Oracle Set to Become Top Saas and Paas Company: Why This Matters

A recent press release submitted by Oracle’s co-founder Larry Ellison both amused and startled industry people when he claimed that Oracle was “now the second largest SaaS company in the world…we have, by far, the most complete portfolio of modern SaaS and PaaS products in the industry and plan to increase our focus on the cloud to become number one in both PaaS and SaaS businesses”.

Whoa.

No one was expecting Ellison, a quintessential traditionalist when it comes to on-premise instead of cloud-based solutions, to suddenly burst onto the scene with a somewhat lordly press release subliminally asserting Oracle was now the self-proclaimed King of the Cloud. According to PandoDaily writer/editor Michael Carney, anbody who’s been keeping tabs on Oracle for the past 30 years should not be shocked by Ellison’s attitude adjustment. As Carney puts it, “[Ellison] he wasn’t about to emphasize or validate the cloud until Oracle was ready to dominate” (http://pando.com/2014/06/24/oracle-will-enter-the-cloud-when-larrys-good-and-ready-uh-oh-hes-ready)
 

Another Sitcom Cancellation“Does Larry Get the Cloud?”
By making claims that Oracle is ahead of everybody except Salesforce in SaaS and more profitable than Rackspace in IaaS, Ellison has effectively cancelled his own sitcom that he’s been starring in for decades because now he DOES get the cloud. Larry E. may also be engaging in psychological warfare with companies like Rackspace, given his propensity to purchase businesses at rock-bottom prices after spending millions of dollars to outcompete them.

In fact, Carney at Pando further reports that Oracle recently acquired non-cloud-based retail applications purveyor Micros Systems for over $5 billion, in addition to LiveLook, a visual collaboration platform, for an unknown amount. After completing eight transactions last year, Oracle already has deal #5 and #6 in 2014’s time capsule. Ellison may also be considering purchasing other companies to puff up his burgeoning cloud-supported ambitions in a characteristic attempt to achieve an ersatz “world domination” stance typical of Oracle.
 

Should SaaS and PaaS Companies Worry about Oracle’s Swaggering? You Bet!
Ellison is clearly endeavoring to permanently link Oracle with the expected growth of big data and cloud-based services by reaping ALL the benefits that are now raining down from the cloud like a million sparkling dollar signs. Moreover, with numerous acquisitions now tucked in his back pocket, Ellison is likely to attract larger businesses who will eagerly opt for Oracle over lesser competitors that offer second-string innovations and sad-faced CEOs wondering what happened.

Greg Bair
President
CREDO Technology Solutions, Inc.
717-756.6475

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