Oracle faces 'dilemma' with its Fusion Applications

How can Oracle spark greater adoption of Fusion Applications without riling customers on older releases?

By , IDG News Service |  Software

It may be a mistake to view Fusion Applications as some kind of inevitable endpoint, however, according to Wright. "The customer base for Oracle is so huge, it's not a one-size-fits-all scenario."

Oracle has said some 400 customers are now running Fusion Applications. While that represents a tiny percentage of its overall user base, Oracle has also said tens of thousands of customers are using its Fusion Middleware stack, which forms the foundation for Fusion Applications, meaning many customers may be well-positioned to adopt the new software when they are ready.

In addition, Oracle is beginning to step up its efforts to form an ecosystem around Fusion Applications. Last month, it announced the availability of the first Accelerate rapid deployment offerings from partners for Fusion.

Oracle has also created a Fusion Applications Developer Relations team.

It's also likely that Oracle will begin more aggressively marketing Fusion, such as through "attractive module bundling price points" and other incentives, as well as "some disincentives to clients staying on existing apps, such as longer and more modest enhancement releases," Forrester said in its report.

Still, Oracle is reportedly not all that anxious about ramping up Fusion Applications sales as quickly as possible.

"You may not believe this, we're not focused on publicity, but rather we want to ensure customer success," said Steve Miranda, executive vice president of application development, in a recent interview with analyst Ray Wang of Constellation Research. "Each go-live is very important to us. In our first set of go-lives, we have 10,000 customers who want to talk to the first 10 go lives. We also don't want to overwhelm our initial customers."

"I'm not worried about speed," Miranda added in the interview. "I'm worried about moving in the right direction."

Chris Kanaracus covers enterprise software and general technology breaking news for The IDG News Service. Chris' email address is Chris_Kanaracus@idg.com

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