How will the opposition of HP and Oracle to Open Source?
Last week in some electronic media news about the success of Hewlett-Packard in Russia ( one , two ). But it seems that these successes will be short-lived. An interesting document came into my hands. It was compiled by the IT department of one of the large companies, most likely, after the recent two-fold (!!!) price increase for Oracle software for HP servers.
On it you can judge the attitude of customers to the events. (It's no secret that HP servers are often supplied to work with Oracle software.) In short: Oracle has ceased to be neutral with respect to hardware, so now we need to look towards other software vendors and Open Source. Rolled up excerpts from the above document.
')
“... During 2010, the relationship between Hewlett Packard and Oracle deteriorated sharply, which led to an increase in the price of the Oracle DBMS licenses for new HP servers [1]. And judging by the events described below, this is only the first link in the value chain of Oracle products for HP and not only. The following are considerations and some recommendations are given.
Since October 2010, Leo Apoteker, former head of SAP AG, has been appointed HP CEO. This appointment has caused quite an expected negative response from Oracle, since SAP is its main competitor in the market of ERP-systems. According to Larry Ellison, Apotheker "was dismissed from SAP for not managing the company well." [2]
It is clear that when the former head of a competing company becomes the head of a close partner, this does not help to strengthen mutual understanding. In addition, many analysts associate Leo Apotheker’s appointment with HP with the desire of HP’s leadership to strengthen the software direction. Oracle understands that in the long term a potential competitor may “grow” from this direction.
The situation is further complicated by the fact that, at present, the post of president of Oracle is occupied by Mark Hurd, who recently had to leave HP with a scandal. The founder and head of Oracle, Larry Ellison, criticized the decision of the HP board of directors, calling it "cowardly", and offered the presidency to the former head of Hewlett Packard, which led to litigation between the companies. Obviously, now for Hurd, the best way to wipe the nose of the HP board of directors is to bypass Hewlett Packard in the server market.
According to IDC Russia Quarterly Server Tracker, in the third quarter, sales of standard architecture servers continued in the Russian server market, which accounted for more than 55% in annual terms. Also, a significant increase was noted in the segment of more powerful servers - more than 80% on an annualized basis. More than half of the entire server market in terms of money is HP.
The database market is actively growing and, according to Forrester analysts, by 2013 its total volume will reach $ 32 billion. Oracle accounts for almost 70% of the Russian database market. and, in fact, provides a monopoly position. Obviously, Oracle Corporation will strive to create the most favorable conditions for its own equipment (Sun), because simultaneously with the increase in the licensing ratio for Itanium processors, Oracle reduced prices for SPARC. Such an approach could have a negative impact on the sales of HP (and Intel) servers, because Microsoft said it would stop the development of Windows Server and SQL Server products for Itanium. [3]
After purchasing Sun Microsystems, Oracle products are no longer hardware-neutral, and their use can make it impossible to change suppliers because of the high costs of the transition ("vendor lock-in"). The rapid increase in prices by Oracle may become not only the “last nail in the coffin” of Itanium, but also threaten the entire market of “heavy” HP / Intel servers. Ultimately, all this will affect HP customers.
In the light of the above facts, it is recommended to consider the use of third-party software products and OpenSource software on HP equipment, in particular, Linux and PostgreSQL. This will not only reduce the "dependence" on a particular supplier, but also significantly reduce the cost of royalties. [4] Since in some cases, when purchasing a DBMS Oracle, the software share reaches 80% of the cost of the entire system, taking into account the hardware platform.
[1] www.cnews.ru/news/top/index.shtml?2010/12/03/418707
[2] www.rbcdaily.ru/2010/10/05/media/515934
[3] www.techeye.net/chips/microsoft-kills-off-itanium-server-support
[4] www.bureausolomatina.ru/ru/themes_in_progress/dbms/2 »
On it you can judge the attitude of customers to the events. (It's no secret that HP servers are often supplied to work with Oracle software.) In short: Oracle has ceased to be neutral with respect to hardware, so now we need to look towards other software vendors and Open Source. Rolled up excerpts from the above document.
A brief analysis of the feasibility of using Oracle DBMS on HP equipment.
')
“... During 2010, the relationship between Hewlett Packard and Oracle deteriorated sharply, which led to an increase in the price of the Oracle DBMS licenses for new HP servers [1]. And judging by the events described below, this is only the first link in the value chain of Oracle products for HP and not only. The following are considerations and some recommendations are given.
Management of HP and Oracle.
Since October 2010, Leo Apoteker, former head of SAP AG, has been appointed HP CEO. This appointment has caused quite an expected negative response from Oracle, since SAP is its main competitor in the market of ERP-systems. According to Larry Ellison, Apotheker "was dismissed from SAP for not managing the company well." [2]
It is clear that when the former head of a competing company becomes the head of a close partner, this does not help to strengthen mutual understanding. In addition, many analysts associate Leo Apotheker’s appointment with HP with the desire of HP’s leadership to strengthen the software direction. Oracle understands that in the long term a potential competitor may “grow” from this direction.
The situation is further complicated by the fact that, at present, the post of president of Oracle is occupied by Mark Hurd, who recently had to leave HP with a scandal. The founder and head of Oracle, Larry Ellison, criticized the decision of the HP board of directors, calling it "cowardly", and offered the presidency to the former head of Hewlett Packard, which led to litigation between the companies. Obviously, now for Hurd, the best way to wipe the nose of the HP board of directors is to bypass Hewlett Packard in the server market.
Russian market of servers and DBMS.
According to IDC Russia Quarterly Server Tracker, in the third quarter, sales of standard architecture servers continued in the Russian server market, which accounted for more than 55% in annual terms. Also, a significant increase was noted in the segment of more powerful servers - more than 80% on an annualized basis. More than half of the entire server market in terms of money is HP.
The database market is actively growing and, according to Forrester analysts, by 2013 its total volume will reach $ 32 billion. Oracle accounts for almost 70% of the Russian database market. and, in fact, provides a monopoly position. Obviously, Oracle Corporation will strive to create the most favorable conditions for its own equipment (Sun), because simultaneously with the increase in the licensing ratio for Itanium processors, Oracle reduced prices for SPARC. Such an approach could have a negative impact on the sales of HP (and Intel) servers, because Microsoft said it would stop the development of Windows Server and SQL Server products for Itanium. [3]
Recommendations.
After purchasing Sun Microsystems, Oracle products are no longer hardware-neutral, and their use can make it impossible to change suppliers because of the high costs of the transition ("vendor lock-in"). The rapid increase in prices by Oracle may become not only the “last nail in the coffin” of Itanium, but also threaten the entire market of “heavy” HP / Intel servers. Ultimately, all this will affect HP customers.
In the light of the above facts, it is recommended to consider the use of third-party software products and OpenSource software on HP equipment, in particular, Linux and PostgreSQL. This will not only reduce the "dependence" on a particular supplier, but also significantly reduce the cost of royalties. [4] Since in some cases, when purchasing a DBMS Oracle, the software share reaches 80% of the cost of the entire system, taking into account the hardware platform.
[1] www.cnews.ru/news/top/index.shtml?2010/12/03/418707
[2] www.rbcdaily.ru/2010/10/05/media/515934
[3] www.techeye.net/chips/microsoft-kills-off-itanium-server-support
[4] www.bureausolomatina.ru/ru/themes_in_progress/dbms/2 »
Source: https://habr.com/ru/post/110417/
All Articles