Re: Oracle's Rapidly Sliding License Revenues - Mailing list pgsql-advocacy

On 13 Nov 2002, Robert Treat wrote:

> This is interesting because I just read this article
> (http://www.sdtimes.com/cols/middlewatch.htm) that talks about how
> postgresql is at a disadvantage compared to other open source databases
> because it is produced under a BSD license, and won't have enough
> license revenue to sustain long term viability of postgresql inc, the
> main company behind postgresql.

license revenue?  damn, were ppl supposed to be sending us license
revenue? *scratch head* *puzzled look*  thank god that wasn't part of our
business plan ...




> Robert Treat
>
> On Tue, 2002-11-12 at 18:14, Shane McChesney wrote:
> > ..among other things.
> >
> > Hey, all... earlier today I posted a (long) article to my weblog
> > about the prospects for proprietary content management firms, and
> > about Oracle's rapidly declining database license revenue in the face
> > of "current conditions" and competition from the likes of PostgreSQL.
> >
> > I thought it might be useful to note it here...
> >
> > http://www.skippingdot.net/2002/11/12
> >
> > If you ever wonder why more people don't seem to "Get It" about open
> > source software, well, it may be that more people get it than even we
> > hear about, because they sure aren't buying Oracle like they used to.
> >
> > Of course, there are a lot of factors at play here, but there's no
> > doubt in my mind that PostgreSQL is on the list of contributors to
> > this trend.
> >
> > For those who don't have time to read the whole thing, here's a
> > tidbit:
> >
> > -===-
> >
> > First, [Oracle's] license revenue overall has dropped at Internet
> > speed:
> >
> > - FY 2002 software license revenue was down 25% from FY 2001.
> > - First-quarter FY 2003 license revenue is down another 23% from the
> > same quarter in FY 2002.
> >
> > That compound attrition is unprecedented, and there is no reason to
> > believe that it won't continue. There is no economic reason for it to
> > turn around.
> >
> > Second, licenses for Oracle's core database products contribute
> > ever-smaller proportions of the company's revenues.
> >
> > - Database licenses slid from 41% of revenue in FY 1997 to 28% in FY
> > 2002, and
> > - in Q1 2003, database license revenue was only 21.6% of overall
> > revenue.
> >
> > Oracle has a huge and well-established consulting business, which is
> > a good thing, because they're going to wind up pretty much entirely a
> > services organization, whether they like it or not.
> >
> > -===-
> >
> > Feel free to use the info in that article wherever and whenever you
> > like.
> >
> > I'll be watching this trend quarterly from now on, of course.
> >
> > Thanks,
> >
> >
> > Shane McChesney
> > President,
> > Wesearch Information Services Inc.
> >
> >
> >
> >
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> >
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