Teradata Labs Chief Downplays Database Machines From Oracle, HP, Netezza

October 20, 2009

Teradata R&D boss Scott Gnau dismisses competitors

At Teradata’s user conference this week in Washington D.C., I chatted with CTO Scott Gnau about the database company main competitors (Oracle, IBM and a lesser extend HP Neoview and Netezza) as well as its views on cloud computing, virtualisation and Flash-memory.

“Our win-rate [against competitors] is much higher than 50%,” says Gnau.

Let’s try to understand why with part 1 of our interview with Scott Gnau on Teradata competitors.

What are your thoughts on Oracle’s Exadata database machine version 2?

The architecture of Exadata v.2 still has the same bottleneck than the prior version, because it’s still a rack, a monolithic non-parallel database. The database is a single instance on the rack, a single point of failure, and it will [fail]. The only implementation of the [Oracle] rack that I’ve seen are for failover and disaster recovery. So it’s not a massively scalable database.

But Oracle did optimise their I/O channel. So it’s running better certainly in a lot of comparisons of Oracle [v.1] to Oracle [v.2]. But they haven’t fixed the memory locking that exists in the normal frontside Oracle database in the rack.

So when you get to the level where you need to do extreme datamining, it’s constrained. But if you want to do simple reporting, simple list pulls, it works okay!

IBM?

I heard they had something coming last week! The rumour is that it’s coming soon! [probably at next week's Information OnDemand 2009 conference in Las Vegas where Big Blue should unveil a database machine competing with Oracle's Exadata].

And HP’s inability to compete with its Neoview offering?

You can use hammer to put a screw in the wall. But a screwdriver works much better. I think they are trying to retrofit some technologies and have had some trouble. Does go to proof that one person [Mark Hurd, in this case, who was a supporter of Teradata while at NCR] can’t a change a company sometimes!

Finally, Netezza?

They have got this hardware assist but they still got a problem in a host node, kind of the front end, where the actual database isn’t parallel. They have the same bottleneck than Oracle, but they have a lot less robust database [than Oracle] (feature, functionality, integration). So they have similar architecture constrain. But if you want to go run a couple reports that are not complicated, well defined, it will work fine. But if you want to do more – and that’s where the money is – you’re going to find yourself limited.


Larry Ellison On The Econony: U.S. Consumers Broke; No Recovery Ahead

October 6, 2009
Oracle chief wants to impose tariffs on goods originating from China and India

Oracle chief wants to impose tariffs on goods originating from China and India

The Oracle co-founder and CEO Larry Ellison has a dismal view on the future of the U.S. economy and sees no recovery in sight.

“Somebody said it’s going to be an L-shaped recovery: down, not coming back. I believe that,” said the software executive.

Ellison argues that the U.S. consumer is so deeply in debt that the economy will not come back at least before 5-years; during which the U.S. economy will not be the world’s engine of growth as used to be, while U.S. consumers start saving to pay off their debts.

The Oracle CEO also expects a higher tax regime to pay for some of the Obama’s administration initiatives.

“I’m surprised that there are so many huge spending programmes, like the stimulus package ($800 billion), the health-care bill ($1 trillion), cap and trade ($1 billion)… There are a lot of things that is going on right now that make me believe that we’re not going to have a rapid recovery,” adds Ellison.

Follows, is the video excerpt of Larry Ellison on the state of the economy:

Oracle CEO favours tariffs on imported goods from India and China

Ellison also explained that the U.S. should impose tariffs on imported goods along with its decision to adopt the cap and trade programme.

“Because you can’t suddenly say that energy is going to be very expensive in the U.S. which would send manufacturing overseas and without having tariffs on things coming back to the U.S. for countries like India and China who said very clearly that they have no interest in monitoring their CO2 output until they have the same per capita CO2 output as the U.S… As a results, China will be able to increase their CO2 output by a factor of 4,” adds Ellison.

Follows another video excerpt where the Oracle CEO talks about imposing tariffs on goods coming from India and China:


Oracle Chief Opposes Net Neutrality

October 6, 2009
Net neutrality is bad for competition argues Oracles chief

Net neutrality is bad for competition argues Oracle's chief

Larry Ellison sided with operators on net neutrality, a position that was largely overlooked during his last appearance at the Churchill Club last month.

The Oracle chief argued that letting the U.S. government regulate pricing on carriers’ networks is wrong, favouring Google and the likes and ultimately stifling competition.

“I think it’s very dangerous for the government to engage in pricing for companies…  In general I believe in free markets and this is the case where government regulation is not necessary,” said Ellison.

Here’s the video excerpt where the Oracle CEO discusses his views on net neutrality:


Oracle CEO: We Never Compete With MySQL; Will Not Spin It Off… Ever! (video)

September 22, 2009
Oracle co-founder Larry Ellison before an un-scripted conversation with Eddy Zander, former Motorola CEO

Oracle co-founder Larry Ellison before an "un-scripted" conversation with "Eddy" Zander, former Motorola CEO

In a conversation with former Motorola CEO Ed Zander – hosted by the Churchill Club – last night, Oracle CEO Larry Ellison said loud and clear that it will not spin off or kill MySQL, no matter what the European Union says about his deal to acquire Sun Microsystems.

“We never compete with MySQL… We’re not going to spin it off. The U.S. government cleared this. We think the Europeans are going to clear this,” pounded Ellison.

I’m sure that’ll please the bureaucrats in Brussels that are “thoroughly” reviewing the deal over some mussels and crispy triply-fried (Belgian) fries :-)


More Speculation Oracle Is Planning A Future With Sun’s Hardware

July 6, 2009
Is a strategic turn for the industry ahead?

Is a strategic turn for the industry ahead?

If you listened to Oracle’s fourth-quarter conference call two weeks ago, you were likely struck by the company’s emerging strategy that software and hardware do mix.

Larry Ellison laid out his argument that integration from top to bottom – across server, operating system, database, middleware, and application – is a better way to go.

The mercurial CEO pointed to the Exadata database machine for data warehouses as the company’s “first experiment.” Oracle unveiled the machine last fall and boasts that it is selling extremely well – though chest puffing is a common trait at the company even when it is not warranted.

The strategic implications for Oracle’s planned acquisition of Sun are profound. Integration from Sun’s servers to Oracle’s application stack represents a departure not only for Oracle but for the business software industry, which has generally touted individual products and left hardware decisions to customers given the increasing commoditization of computers.

If indeed Oracle is looking toward life with a hardware division – and not intending to sell it off – it will be interesting to see how competitors SAP and IBM respond.

On Monday, industry pundit Bruce Richardson said he is becoming more convinced that Oracle’s heart is in the deal.

Even though the Justice Department has issued a second request for information, “it still appears the deal will be completed by the end of August,” said Richardson, chief research officer at AMR Research.

With that date in mind, the buzz is that Oracle is eager to hire supply-chain talent to try to make servers and chips into a profitable business, he wrote in a blog post.

If this is true, and if Oracle’s integration strategy begins to capture the interest of some customers, watch out. The business software industry is about to make another 90-degree change of direction.


Oracle Fires Apps Chief Ed Abbo Over Cratered Sales, Salesforce CEO Reveals

June 25, 2009
Oracles chief of applications was fired over a plunge in revenue sales, said Salesforce.com CEO Marc Benioff (photo credit: Dan Farber)

Oracle's chief of applications was fired over plunging revenue sales, said Salesforce.com CEO Marc Benioff (photo credit: Dan Farber)

For Salesforce.com CEO Marc Benioff, Oracle’s problems last quarter came from its applications business – which competes with Salesforce.com, SAP and a slew of enterprise software companies – not from its lower profitability.

“It’s applications license revenue cratered. They fired their head of [the applications business]… He was gone without a trace the next day – Ed Abbo, the head of all Apps for Oracle. And their overall apps revenue decline very significantly,” revealed Benioff during a conversation at the Structure 09 conference.

As senior vice-president of Apps – and former CTO at Siebel – Abbo supervised Oracle’s “legacy” applications business, including the various CRM products acquired from Siebel, Peoplesoft… which compete squarely with Salesforce.com offering.

Later, Benioff took another yet another jab at Oracle pointing that its past mentor – Larry Ellison – hasn’t delivered a killer app in a long time; which for him explains Oracle’s latest move into the cloud space.

Follows the Benioff’s video comments on the news:


Benioff Spells The Truth Behind The High Cost Of Enterprise Software: Maintenance

June 25, 2009

Listening today at Salesforce.com CEO Marc Benioff at GigaOM’s Infrastructure 09 conference, one would think that the enterprise software business is a real racket… or cash-cow, depending on where you stand!

“The way enterprise software has worked for a lot of the large scale CIOs… You buy these enterprise software products maybe 10 years ago… and let’s say you paid a million dollars for that product.

Well Oracle and SAP charges you 22% a year on what you paid 10 years ago, even if they haven’t given you any updates or upgrades or anything. Just to have it on your servers,” explains Benioff.

That’s a lot of money considering that you are running on old infrastructures, architectures, etc… But as Benioff pointed out, it will take a while for CIOs to get out of the grip of traditional software companies like Oracle or SAP and move their infrastructure to the cloud; simply because it’s complex and requires to be highly integrated.

And, if ain’t broken… don’t fix it!

Here’s a short video clip of Benioff’s remarks on why the enterprise software business is a real racket for companies:


Salesforce.com CEO Ridicules Oracle “Zen” Cloud Strategy

June 25, 2009
Benioff pokes fun at former mentor Oracle CEO Larry Ellison on his cloud computing vision

Benioff pokes fun at former mentor Oracle CEO Larry Ellison on his cloud computing vision

Benioff will always be Benioff, even sick like he was today at GigaOM’s Structure 09 conference.

Asked by Om Malik about Oracle’s CEO “flip-flop” cloud computing strategy, the Salesforce.com CEO and co-founder just couldn’t help ridicule his former mentor, Larry Ellison.

“6 months ago he said it’s ridiculous and made some very caustic remarks which is not very much like him and then he said something very Zen in a kind of very spiritual or mentor way…

the key to cloud computing, the key… grasshopper… to on-demand is on premise. And the key to on-premise is on-demand. And you can not have on-demand without on-premise, and you can not have on-premise without on-demand.

It was very Zen. It was like hitting a new level of enlightenment when I heard of it. This guy’s got it. On-demand is on-premise and yet on-premise is on-demand.

And if you can understand that then you’ll know why cloud computing is what it is.”

So here it go. The secret of cloud computing. Now study that… grasshopper :-)

And for your amusement, here’s the video clip where Benioff explained Oracle’s cloud vision!


Oracle Taking A Lesson From Apple

June 24, 2009

Apple has built a reputation for functional, high-quality products by closely integrating hardware and software.

Its Macintosh computers run the Mac OS X operating system. Its iPods and iPhones run their own custom software and integrate with the iTunes music, video and apps stores.

Oracles Exadata database machine is a model for the integration of Sun

Oracle's Exadata database machine is a model for the integration of Sun

Oracle appears to be building its own strategy around hardware and software integration, and on Tuesday CEO Larry Ellison said the first attempt at integration is proving a success.

“Exadata is actually our first experiment,” he explained on an evening conference call with analysts. “We expect sales to accelerate.”

Already, quarterly sales of the database machine for data warehouses place it among Oracle’s top product introductions, he added.

The implications for the company are profound with its pending acquisition of Sun Microsystems. Oracle has been rumored to be shopping around Sun’s hardware business, suggesting it is mostly interested in the computer maker’s software properties, such as Java, MySQL and perhaps, Solaris.

But if it is facing up to keeping the hardware business, its integration strategy could create shockwaves across the industry and especially for competitors Hewlett-Packard and IBM. They, too, might be forced to think more about the propriety nature of their products and less that one box is an easy substitute for another.

That might be easier for IBM, with its diverse software business, but more of a challenge for H-P.

It would also force the remaking of Oracle into an Apple-like vendor of hardware and software – no easy task for company with a history of software-only development.

On Tuesday conference call, President Charles Phillips Jr. suggested Exadata is an example of how Oracle will knit Sun’s hardware and Oracle’s software together. “We’re pretty excited,” he said.

Exadata is a relatively new product, added Ellison, but four-quarter customer wins against competing products from IBM, Teradata and Netezza include some long established companies – including one California computer and phone maker.

There was little mistaking the veiled reference to Apple.


Oracle Labs Running A Virtual Database Without An Operating System

June 24, 2009

When Oracle bought BEA in April 2008 it inherited a R&D project designed to run BEA’s WebLogic middleware on a virtual machine without an operating system.

The work has received a boost inside the database giant.

Hats off: Oracle is looking at running a database directly on a virtual machine

Hats off: Oracle is looking at running a database directly on a virtual machine

The company is now looking at running an Oracle database directly on a virtual machine without an operating system.

CEO Larry Ellison did not offer additional detail of the work on a Tuesday evening fourth-quarter conference call. But he said the effort is alive and well.

“We are looking at that,” he said.

The implications are clear. If a database server no longer needs to include an operating system, suppliers of Linux and Windows could suffer.

And Oracle’s push to supply a complete stack of software from virtual machine on up could be easier (even if a stripped down OS is included).


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