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Salesforce.com and Oracle's strategic partnership: Marriage of Convenience or Choice?

The announcement of the partnership between Salesforce.com and Oracle last month has taken the cloud world into surprise.  Historically, both the organizations have not got along well both in terms of product offerings and leadership personality.  This deal, expected to run for nine years, will enable Salesforce leverage Oracle offerings on all tiers, Applications like Oracle Fusion HCM/financial cloud, Platform like Java middleware, Infrastructure like Exadata.  Oracle in turn will plan on integrating salesforce.com with its Fusion HCM and Financial cloud.


This partnership would provide Salesforce.com an opportunity to expand its reach beyond public cloud and provide its solutions on private cloud, in a more proxy manner, thus enabling direct competition to Microsoft Dynamics.   Further, this move will also help Salesforce.com close its solution gap on financial side.

Some early adapters of Salesforce.com may be disappointed with this new solution offering.   Although they may not be able to leverage the benefit of this new developments, it is a win-win situation for everyone, overall.   For the starters, it is going to expand the Salesforce.com community further, improve talent pool, among other things.  Oracle will see this as a validation of its security concerns with the current Salesforce.com platform offering.   Besides, this will further increase Oracle's revenue stream.

But for the organizations that go critical at each other during their annual conference events, it will be interesting to watch their sentimental shift, in the upcoming annual events.

Infosys, a Gold Partner of Salesforce.com and a Diamond Partner of Oracle is uniquely positioned to leverage this strategic partnership between these companies.   Through its Center of Excellence on both these technologies and vast practitioners across the world, Infosys can in turn collaborate internally and across the industry to provide seamless experience to its customers of cloud computing to maximize the potential of this partnership and realize the benefits quickly.

Cloud computing industry has already been witnessing consolidation & buy-outs in smaller chunks in the last few years.   As this industry is maturing, consolidation activities are likely to intensify and expand in the coming years.

Comments

Very good insight - nice to see a 2 major players come together to conqur the world.

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