Salesforce.com and Oracle on Tuesday unveiled a nine-year technology alliance under which the two companies will align their cloud operations.
Salesforce.com, known for offering sales and marketing software through an online service, is the second traditional rival that Oracle has partnered with this week. On Monday it unveiled a pact with Microsoft to allow pieces of Oracle’s business software to more closely mesh with Microsoft’s software and online services.
After disappointing shareholders with sales that fell short of expectations last week, Oracle CEO Larry Ellison hinted he would unveil partnerships this week involving the cloud with some important companies, including Salesforce.com.
Oracle, Microsoft and SAP have dominated the market for customer-relationship-management software installed on company servers and operated behind corporate firewalls. Salesforce.com offers competing software that it streams online to computers, tablets and smartphones, relieving customers of the cost of maintaining servers for the task.
The San Francisco-based company’s relationship with Oracle has gone through many twists and turns. Marc Benioff, its chief executive, worked for years at Oracle under Larry Ellison, that company’s CEO. Ellison was also among the early investors in Salesforce.com, which has also used Oracle databases in creating its services.
But the companies subsequently became fierce competitors. Oracle, while being best known for software installed on its customers’ servers, has been developing cloud-based versions of many of those products. The two companies’ CEOs have seldom missed a chance to throw barbs at each other in public, but Benioff said in an email last week that he and Ellison had agreed they needed to work more closely together.
In the deal announced Tuesday, Salesforce.com will use the Oracle Linux operating system, Exadata engineered systems, the Oracle Database and Java Middleware Platform, the companies said.
Meanwhile, Oracle plans to integrate Salesforce.com with Oracle’s Fusion HCM and Financial Cloud, and provide the core technology to power Salesforce.com’s applications and platform. Salesforce.com will also implement Oracle’s Fusion HCM and Financial Cloud applications throughout the company.
“When customers choose cloud applications, they expect rapid low-cost implementations; they also expect application integrations to work right out of the box–even when the applications are from different vendors,” Ellison said in prepared remarks.