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Warnings about an Oracle Monopoly


July 15, 2004

Kenneth Elzinga, an economics professor from the University of Virginia who recently testified for the justice department in the anti-trust suit between PeopleSoft and Oracle warned Oracle's takeover could "shrink" the market, though Oracle says the market is much broader, including behemoth Microsoft.

Ellen Lee writes for Contra Costa Times in the article at ITtoolbox.com,


"In a sample of the rivalry between Oracle Corp. and PeopleSoft Inc. to land a software deal, an Oracle salesperson asked for permission to offer an 83 percent discount, citing as the reason "the level of desperation at (PeopleSoft) and the unnatural acts they are committing in the field."

Ellen rites that Elzinga testified,

"The professor, who is also a consultant for Microsoft, culled through thousands of internal Oracle discount request forms for the Justice Department. He selected 222 of them based on such criteria as whether the deal was for a U.S. entity and whether the software license fee was more than $500,000. Of the 222 discount forms, 122 of them listed PeopleSoft as the reason to offer a discount. SAP followed, cited 80 times. Microsoft, ADP, an outsourcer, and about 40 others were listed only a handful of times."

http://oracle.ittoolbox.com/news/dispnews.asp?i=116454&a=Oracle&t=4

 

 

 

 
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