Home > SAP software/management News > What does Oracle-Hyperion mean for SAP customers?
SAP software/management News:
EMAIL THIS

What does Oracle-Hyperion mean for SAP customers?

By Jon Franke, News Editor
07 Mar 2007 | SearchSAP.com

SAP news, tips and expert advice
Digg This!    StumbleUpon Toolbar StumbleUpon    Bookmark with Delicious Del.icio.us    Add to Google

When Oracle acquired Santa Clara, Calif.'s Hyperion Solutions Corp., president Charles Phillips indicated that the deal could help the Redwood Shores, Calif.-based company toward its goal of getting its products into companies that use SAP.

Although Hyperion does give Oracle a window into SAP accounts, a mass switch to Oracle isn't in the cards, according to analysts.

"Certainly, these 'prospects' will now be marketed to more directly, but I'm not sure there will be any movement on the applications front," said David Yockelson, vice president of research operations at New York's 451 Group.

In fact, Joshua Greenbaum, principal for Berkeley, Calif.-based Enterprise Applications Consulting, thinks basing a larger software switch on Hyperion would be unwise.

"I don't see what Oracle can offer [SAP customers] regarding a switch. Moving your back office from one vendor to another is expensive," he said. "Doing so to favor your high-end analytics strategy is lunacy."

However, one potential area to watch is the small and medium business market, according to Yockelson.

More on SAP and Oracle's acquisitions
See how SAP may respond to Oracle's acquisition of Hyperion

Check out the original news story on the Oracle-Hyperion deal

Read more about SAP's Pilot acquisition

"The degree to which [the Hyperion] customers comprise SMB [small and midsized business] organizations could be interesting, especially since SAP is in the midst of major change for their applications," he said. "I think this could present a good opportunity for Oracle and the eBusiness Suite."

For its part, SAP has been aware of the growing opportunities in business intelligence (BI) and analytics, according to Greenbaum.

"There will definitely be a scramble to be competitive with the Hyperion-Oracle combination," he said. "SAP will be compelled to come to market with a product to do [what Hyperion does], which SAP has already been developing for a year or so."

Yockelson agrees that the onus is on SAP to capitalize on its recent Pilot acquisition and the organic development that is already under way at SAP to produce a truly competitive set of business process management (BPM) and analytics capabilities.

The acquisition should not seriously affect the decision making of companies considering a BI software purchase in the near future.

"I don't think this becomes a 'stop what you were doing' situation," Yockelson explained. "Hyperion plays across applications and competes in the broad BI and analytics market to begin with, so SAP users considering BI, BPM, etc. were probably looking at Hyperion or the other standalone vendors anyway."

Standalone BI tools vendors, such as San Jose, Calif.'s Business Objects SA and Ottawa-based Cognos Corp., don't provide the same functionality that packaged solutions like Hyperion's do, anyway, according to Greenbaum.

"A BI tools strategy is one thing -- providing packaged analytics should be an entirely different thing," he explained.

The bottom line is that -- regardless of any other acquisitions that may happen -- customers should still put getting the best capabilities for their dollar ahead of the software provider, Yockelson concluded.

"With so many SAP customers running Oracle's database products, they don't consider a product an alternative platform just because Oracle owns it," Yockelson said. "It behooves the SAP customers to understand clearly what will be available, and when, as they make BI and analytics decisions."

Greenbaum concurred, saying, "For the companies that are looking to build the functionality that Hyperion already provides: You should be looking at packaged solutions regardless of whether Oracle or the Man in the Moon owns the vendor."



Tags: SAP trends, strategy and ERP market shareBusiness Objects and SAP business intelligenceVIEW ALL TAGS

Digg This!    StumbleUpon Toolbar StumbleUpon    Bookmark with Delicious Del.icio.us    Add to Google



RELATED CONTENT
SAP trends, strategy and ERP market share
SAP CTO Sikka: SAP's innovation gets overlooked
SAP CTO expects today's SAP applications to be running in 2020
SAP TechEd 09 keynoters: Managing change today like trying to board a speeding train
SAP ERP upgrade case study: Upgrade to ECC 6.0 with minimal downtime
SAP forms closer link with LinkedIn
Getting ready for SAP TechEd 2009 with tips from Jon Reed
SAP ERP/ECC 6.0 upgrade planning and strategy
Mission-critical SAP software demands a mission-critical hardware infrastructure
SAP TechEd 2009 Phoenix: SearchSAP.com Special Report
SAP pitches in-memory DBMS to handle transactions as well as analytics

Business Objects and SAP business intelligence
SAP CTO Sikka: SAP's innovation gets overlooked
Four things SAP must consider before a Teradata acquisition
SAP TechEd Demo Jam 2009: Winners use beer keg in demo
Which five SAP projects should businesses launch now?
SAP BW or third-party data warehouses a dilemma for SAP customers
SAP pitches in-memory DBMS to handle transactions as well as analytics
Tips for setting up a default SAP BI client after implementation
Competitive sailors use SAP dashboard, BI to plot better race strategy
Consider more than end of support in move from SAP BEx to BOBJ
SAP Business Explorer (BEx) and SAP BI reporting basics

RELATED GLOSSARY TERMS
Terms from Whatis.com − the technology online dictionary
SAP  (SearchSAP.com)

RELATED RESOURCES
2020software.com, trial software downloads for accounting software, ERP software, CRM software and business software systems
Search Bitpipe.com for the latest white papers and business webcasts
Whatis.com, the online computer dictionary



SAP Training & Employment
About Us  |  Contact Us  |  For Advertisers  |  For Business Partners  |  Site Index  |  RSS
SEARCH 
TechTarget provides technology professionals with the information they need to perform their jobs - from developing strategy, to making cost-effective purchase decisions and managing their organizations' technology projects - with its network of technology-specific websites, events and online magazines.

TechTarget Corporate Web Site  |  Media Kits  |  Site Map




All Rights Reserved, Copyright 2000 - 2009, TechTarget | Read our Privacy Policy
SearchSAP.com is a search service provided by TechTarget and is completely
independent of and not affiliated with SAP AG.
  TechTarget - The IT Media ROI Experts