The La Jolla, California-based company, which was founded in 1997, typically supplies carriers with its browser-based, multi tenant, CallCenter @nywhere virtual call center application, who then have the option of hosting it on their networks, selling as a new product in the form of a pre-packaged application or offering it as a revenue generating service.
This acquisition is effectively a tidy-up type of acquisition following the Siebel acquisition, because the company delivered Siebel’s Contact On Demand hosted virtual call center service. By bringing it in house Oracle is gathering the resources needed to run and support its on demand business.
Since the Siebel acquisition was first announced, Oracle has repeatedly said it is taking the on demand business very seriously and during a press briefing said that it was planning to release details of its on demand strategy shortly but was unwilling to provide any early indicators or what it will say or exactly when.
The Oracle on-demand story is a complicated one because Siebel on-demand is hosted by Oracle’s nemesis IBM, and built using IBM technology. Previously Oracle executives have said there is was no reason to change, but there could be a shift coming. Senior VP EMEA for CRM, Loic Le Guisquet said he did not wish to talk about the on demand back end and architecture but stressed Oracle’s commitment to the model as part of a hybrid on demand and on premise strategy.
We are putting a lot of investment in on demand. We will deliver and integrate upgrades at a fast pace. We have got a wide footprint and a go to market strategy. We have decided to invest heavily, he said.
While the latest acquisition does help Oracle confirm its Siebel on demand offering, it is also likely to be the first of a series of strategic on demand moves.
