Oracle and NetSuite’s cloud alliance targets midmarket

A company that has been known for its ferocious pace of acquisitions, business software vendor Oracle Corp. has had a busy week with deals of another sort with three different cloud computing-focused partnerships announced.

Following earlier tie-ups with Microsoft and, on Wednesday Oracle announced a partnership with on-demand ERP and CRM vendor NetSuite. The two companies have formed an alliance that will see the two vendors work together to deliver integrated Human Capital Management (HCM) and Enterprise Resource Planning (ERP) cloud services to the mid-market.

“You shouldn’t think of this as a date. You should think of this as us continuing to integrate our products closer and closer together,” said Oracle president Mark Hurd told a media conference call. “Think of this almost as rolling thunder as opposed to an event.”

The two vendors believe mid-market customers can get an edge with SaaS solutions, which they say are quicker and cheaper to deploy. They see larger companies with Oracle HCM already deployed implementing NetSuite in their smaller subsidiaries, and will enable the integration of the respective solutions.

Oracle also plans to develop a product integration and go-to-market strategy with NetSuite for Oracle HCM Cloud and NetSuite Cloud ERP as a single, integrated solution connecting HR and finance for mid-market customers.

Oracle HCM Cloud includes Global HR and Talent Management for managing human resources operations, while NetSuite Cloud ERP includes financials, sales, service, and fulfillment.

“We’re excited to work with Oracle to bring customers an integrated solution that combines NetSuite’s solutions that automate business processes with Oracle’s suite for managing people processes,” said NetSuite CEO Zach Nelson, in a statement.  “Customers will benefit from the commonality of the products’ underlying Oracle-based architecture and the enormous investment in R&D and customer service that both companies bring to the table.”

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Jim Love, Chief Content Officer, IT World Canada

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Jeff Jedras
Jeff Jedras
Jeff Jedras is a technology journalist with IT World Canada and a member of the IT Business team. He began his career in technology journalism in the late 1990s, covering the Ottawa technology sector for Silicon Valley North and the Ottawa Business Journal. He later covered the technology scene in Vancouver before joining IT World Canada in Toronto in 2005, covering enterprise IT for ComputerWorld Canada and the channel for Computer Dealer News. His writing has also appeared in the Vancouver Sun & the Ottawa Citizen.

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