{"id":204,"date":"2016-07-31T07:37:56","date_gmt":"2016-07-31T07:37:56","guid":{"rendered":"http:\/\/blog.sureshdinakaran.com\/?p=204"},"modified":"2016-07-31T07:37:56","modified_gmt":"2016-07-31T07:37:56","slug":"all-in-the-family-an-oracleous-effort","status":"publish","type":"post","link":"https:\/\/www.sureshdinakaran.com\/blog\/2016\/07\/31\/all-in-the-family-an-oracleous-effort\/","title":{"rendered":"All in the family: An ORACLEous effort!"},"content":{"rendered":"

All in\u00a0the\u00a0family<\/h2>\n

A meeting at Oracle HQ started a series of multi-billion dollar events. Now it\u2019s come full circle.<\/p>\n

\"The<\/a><\/p>\n

Day before yesterday, tech behemoth Oracle<\/strong>\u00a0agreed to buy<\/a>\u00a0fellow cloud software company, Netsuite<\/strong>, for $9.3B,\u00a0the\u00a0company\u2019s largest acquisition since it acquired PeopleSoft<\/strong> in 2004.<\/p>\n

But this isn\u2019t your typical takeover. Silicon Valley, despite its global reach and constant innovation, still remains a tiny place full of friendships, family, and rivalries.<\/p>\n

Back in\u00a0the\u00a0late 1990s\u2026<\/h4>\n

A meeting was held at Oracle HQ in Oakland, California between\u00a0the\u00a0company\u2019s CEO, Larry Ellison<\/strong> and 3 key employees: Evan Goldberg<\/strong>, Zach Nelson<\/strong>, and Marc Benioff.<\/strong><\/p>\n

During that meeting, Goldberg, a developer, came up with\u00a0the\u00a0idea of software as a service (SaaS<\/strong>), painting Ellison a picture of building an internet version of Siebel<\/strong>,\u00a0the biggest CRM<\/strong> software maker at\u00a0the\u00a0time.<\/p>\n

Ellison liked\u00a0the\u00a0idea but told Goldberg he\u2019d first need to build finance software, then build\u00a0the\u00a0customer software around it. So that\u2019s exactly what Goldberg \u00a0did and Ellison personally funded it.<\/p>\n

Anyone care to guess what\u00a0the\u00a0company was called? Yep, Netsuite.<\/strong><\/p>\n

That means Larry Ellison just bought a company he helped launch and, more importantly, a business where he\u2019s a 40% stakeholder. Carry\u00a0the\u00a02\u2026 that means he just netted $3.5B in cash.<\/p>\n

As for\u00a0the\u00a0other two guys in\u00a0the\u00a0meeting\u2026<\/h4>\n

They play a role in this, too — Zach Nelson is\u00a0the\u00a0current CEO of Netsuite, a position he\u2019s held since 2002.<\/p>\n

And as for Marc Benioff\u2026 let\u2019s just say he left that meeting with a few ideas of his own. As Nelson tells it, \u201cBenioff called back\u00a0two weeks later\u00a0and said \u2018I\u2019m going to do that Siebel online thing,\u2019 and that became Salesforce.com<\/strong>.\u201d<\/p>\n

Salesforce<\/strong> and Oracle<\/strong> began competing for business shortly after that and\u00a0the companies remain rivals to this day. In fact, Ellison is\u00a0dead set on making $10B<\/a>\u00a0in revenue from cloud computing before Salesforce does.<\/p>\n

So Ellison wants to beat Benioff, and Netsuite helps him do that?<\/h4>\n

Pretty much, yeah.\u00a0The\u00a0move makes plain business sense.<\/p>\n

In order to continue growing its cloud market, Oracle had to start playing in Netsuite\u2019s world, selling to small and midsize companies. And, prior to yesterday, there were two possible ways to play\u00a0the\u00a0game: Oracle snuffs out\u00a0the\u00a0little guy or\u00a0the\u00a0little guy defends its turf.<\/p>\n

Larry\u00a0the\u00a0Cloud Guy decided to go rogue and whipped out\u00a0the\u00a0checkbook to create outcome #3: buy\u00a0the\u00a0little guy and\u00a0win\u00a0the\u00a0whole f\u2019n thing<\/a>.<\/p>\n

ENDS<\/p>\n

Source Credit: The Hustle<\/strong><\/p>\n

www.groupisd.com<\/strong><\/p>\n

www.brandknewmag.com<\/strong><\/p>\n

 <\/p>\n

 <\/p>\n","protected":false},"excerpt":{"rendered":"

All in\u00a0the\u00a0family A meeting at Oracle HQ started a series of multi-billion dollar events. Now it\u2019s come full circle. Day before yesterday, tech behemoth Oracle\u00a0agreed to buy\u00a0fellow cloud software company, Netsuite, for $9.3B,\u00a0the\u00a0company\u2019s largest acquisition since it acquired PeopleSoft in 2004. But this isn\u2019t your typical takeover. Silicon Valley, despite its global reach and constant … Continue reading “All in the family: An ORACLEous effort!”<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-204","post","type-post","status-publish","format-standard","hentry"],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.sureshdinakaran.com\/blog\/wp-json\/wp\/v2\/posts\/204","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.sureshdinakaran.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.sureshdinakaran.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.sureshdinakaran.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.sureshdinakaran.com\/blog\/wp-json\/wp\/v2\/comments?post=204"}],"version-history":[{"count":1,"href":"https:\/\/www.sureshdinakaran.com\/blog\/wp-json\/wp\/v2\/posts\/204\/revisions"}],"predecessor-version":[{"id":206,"href":"https:\/\/www.sureshdinakaran.com\/blog\/wp-json\/wp\/v2\/posts\/204\/revisions\/206"}],"wp:attachment":[{"href":"https:\/\/www.sureshdinakaran.com\/blog\/wp-json\/wp\/v2\/media?parent=204"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.sureshdinakaran.com\/blog\/wp-json\/wp\/v2\/categories?post=204"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.sureshdinakaran.com\/blog\/wp-json\/wp\/v2\/tags?post=204"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}