Oracle and NetSuite? Together at last?

Oracle and NetSuite? Together at last?

Summary: Hey, are these two ERP competitors holding hands? Are they having some sort of Kardashian moment? Can they really be getting together?


Check out this banner graphic on the homepage of ERP vendor NetSuite .

Oracle and NetSuite

Yes, Larry Ellison has been a major investor of NetSuite (nee NetLedger) since its inception. But, Oracle and NetSuite have always operated as separate and distinct entities. I’m personally not aware of the two firms co-operating unless it was a long time ago.

So, the banner graphic got my attention. I did a head turn as NetSuite is a multi-tenant, cloud ERP solution while Oracle has had a history of promoting its on-premise applications and its private cloud solutions. Recently, Oracle has warmed up to cloud solutions as evidenced by its recent Taleo acquisition and other more recent cloud-friendly product announcements.

But, when I clicked on the “Learn More” button, I saw what this new relationship really was. Zach Nelson, NetSuite CEO,  will be speaking at Oracle Open World about those situations where the NetSuite ERP cloud solution will be used by divisions of large firms that have Oracle/PeopleSoft Financials and HR on-premise products running the enterprise applications at headquarters (or larger divisions).

NetSuite’s actually gotten some traction with this approach. Some of the larger integrators are particularly of fond of this mixed mode solution for their Fortune 500 clientele. In fact, NetSuite has done a number of deals like this where SAP is the enterprise solution and NetSuite is the divisional solution.

So, are these two firms headed to the matrimonial altar? No. The teaser ad turned out to be more intriguing that the reality. I kind of feel like I do when I get suckered into some reality television promo. Empty calories…..


Topic: Enterprise Software


Brian is currently CEO of TechVentive, a strategy consultancy serving technology providers and other firms. He is also a research analyst with Vital Analysis.

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  • Better integration is good for the customer

    With all the multiple softwares for ERP floating around, it is good to get them integrated so the customer benefits more.
  • Imagine that ... resellers like having options ...

    like selling an on-premise solution to customers/divisions who have IT/control tendancies and multi-tenant SaaS to customers that want to outsource.

    The problem is that the NetSuite/Oracle solution would be two different programs/architectures, so it's promoting some of the things NetSuite sets out to avoid.

    Now, if somebody just had a single set of code that could run on-premises and in the cloud ...

    Doug Johnson
    Web Cloud
  • Actually....

    NetSuite was originally launched as the Oracle Small Business Suite. At one point they had two names both NetLedger and Oracle Small Business Suite. The NetLedger name didn't stick around for much longer OSBS before they went to the current moniker.
    Kevin Cox