PeopleSoft ISV concerned over future with Oracle

When Oracle announced it had finally captured PeopleSoft, Babak Varjavandei was one of those who wasn’t impressed.

The CEO of Montreal-based Nakisa Inc.,

an independent software vendor which makes Web-based data modeling tools for PeopleSoft and SAP human resources applications, the acquisition raised a number of questions.

But after talking to Oracle executives this week he’s still uncertain if the new owner will benefit his company.

“”On one side it’s a much bigger market for us to tap into,”” he said in an interview.””On the other side, we’re concerned that while PeopleSoft really took care of us, now we’re amongst 20,000 partners. Their idea is to reach as many partners as possible. However, PeopleSoft was very selective about their partners. It was very difficult to be a PeopleSoft partner.””

After speaking this week with Tom Herman, who had been PeopleSoft’s director of ISV’s for PeopleSoft, and an Oracle official he still has doubts because of a lack of details about the new partners structure.

“”I’m still not comfortable because their highest level of partnership is still not as exclusive as the relationship we had with PeopleSoft,”” he said.

Bronwyn Hastings, Oracle’s vice-president of global alliances and channels, acknowledged that the new structure still hasn’t been worked out yet.

For the time being the PeopleSoft partner programs will continue, she said.

But by the end of the year there will be a “”common framework.””

Varjavandei is also concerned that Oracle will favour partners who use Java technologies, on which Oracle has framed its applications, over companies like his, which are Web-based.

However, Hastings said while partners will be told of the advantages of using Java, there won’t be any pressure to switch.

Hastings also sent a signal to PeopleSoft resellers wondering how much Oracle will encourage them to sell PeopleSoft’s Enterprise and Enterprise One applications, parts of which Oracle has promised will eventually be merged in the eBusiness Suite.

Asked if Oracle wants to increase the number of PeopleSoft resellers, she said that channel is still being evaluated.

“”Obviously with new partners being appointed the focus would be on eBusiness Suite,”” she added.

Hastings held a series of interviews with IT media to stress the company’s message that for the short term it’s business as usual for PeopleSoft partners.

More details on overall corporate strategy are expected to be laid out on Jan. 18 at an Oracle event in California for partners and customers.

“”The next few weeks will be crucial,”” said Varjavandei. “”We don’t know what level of partnership Oracle will give us, and what it will mean.””

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Howard Solomon
Howard Solomon
Currently a freelance writer. Former editor of and Computing Canada. An IT journalist since 1997, Howard has written for several of ITWC's sister publications, including Before arriving at ITWC he served as a staff reporter at the Calgary Herald and the Brampton (Ont.) Daily Times.

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