UK Oracle User Group

Oracle and Salesforce will make sure their products can easily share data with each other.

25 June 2013

Oracle and Salesforce bury the hatchet and team up on the cloud.

After years of trash talking, it appears that Oracle and Salesforce are burying the hatchet to form close co-operation over the cloud.

Marc Benioff, the founder and chief executive of Salesforce, actually said "Larry" without spitting as he announced the two companies will unite their clouds.

He even managed to say the phrase "Oracle is a very important part of our strategy" without adding "Bazinga" afterwards.

The deal means Oracle and Salesforce will make sure their products can easily share data with each other.

Customers, for example, can use contact and product details that they have on Salesforce with Oracle's applications - which include similar sales and people-management software.

Oracle and Salesforce hope this will make both products more attractive to buyers, because it will increase what companies can do with the software.

While the two have been trash talking about each other in public, it looks like they have been privately negotiating a huge make up.

Benioff is a former Oracle executive, and Ellison is an early investor in Salesforce. Salesforce software relies on Oracle's database.

Salesforce is starting to find that it is facing increased competition from higher profile names such as IBM. As a result, it has broadened out from sales software to online marketing and advertising products.

Oracle's own plans have not been doing that well either. Last week it announced lower than expected earnings, which it ascribed to a tough economy overseas. Its own cloud-based software grew well, but was still too small to write home about.

By teaming up with Salesforce, Oracle can have a crack at going after a much bigger market of smaller-sized deals.

Oracle is also expected to announce a deal with Microsoft about making Oracle's products more broadly available in Microsoft's cloud.

This follows another Oracle partnership with Dell intended to give it access to more small and medium-size businesses. | VIA: @Provanis

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