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Rimini Street Survey Finds Oracle Licensees Leveraging Their Mature On-Premise Applications Rather Than Replacing with Oracle Cloud/Fusion Applications

Licensees find existing on-premise applications “meet business needs” and cite “high licensing and maintenance costs” and “no strong business case” as top reasons for not migrating to Oracle Cloud/Fusion applications

LAS VEGAS – November 2, 2015 – Rimini Street, Inc., the leading independent provider of enterprise software support services for SAP SE’s (NYSE:SAP) Business Suite and BusinessObjects software and Oracle Corporation’s (NYSE:ORCL) Siebel, PeopleSoft, JD Edwards, E-Business Suite, Oracle Database, Oracle Middleware, Hyperion, Oracle Retail and Oracle Agile PLM software, today announced that a majority of global Oracle licensees recently surveyed are leveraging their existing, mature on-premise applications at the core of their ERP application strategy. The top reasons cited for not migrating to Oracle Cloud/Fusion applications are “High Licensing and Maintenance Costs” (62%), and “No Strong Business Case” (60%). “No Incremental Value over Existing Applications” was also cited as a top reason for not migrating. The results are part of Rimini Street’s second annual global survey of 443 current Oracle application licensees including executives, IT and procurement professionals representing a range of industries and company sizes in North America, Asia-Pacific, Europe and the Middle East, to understand their challenges, priorities and plans for 2016 and beyond.

“This year’s results confirm that Oracle licensees are continuing to benefit from their mature on-premise applications to run core business functions, and are looking at options from several vendors, not just Oracle, to extend their existing application investments with new functionality and capabilities,” said David Rowe, senior VP and chief marketing officer, Rimini Street. “CIOs are carefully assessing, and selectively using cloud to innovate around the edges of their core ERP. When asked about key reasons they may plan to use Oracle Cloud/Fusion applications, many cited ‘to extend their existing on-premise Oracle applications.”

Many Oracle Licensees Not Committed to Upgrading Current On-Premise Applications

According to the survey, nearly half of Oracle licensees are running at least one version behind the latest application release. The results found that a significant portion of Oracle licensees are questioning the value of expensive, disruptive upgrades and “change for the sake of change.” Oracle customers that are not committed to upgrading stated that their existing, stable and mature on-premise applications “Meet Business Needs” (64%). Another key reason cited by Oracle licensees for not upgrading is that it is “Cost Prohibitive” (41%). Overall, Oracle licensees’ application roadmaps and strategies lean towards extracting maximum value out of their existing systems and platforms, and avoiding expensive and unnecessary upgrades and re-platforming without a solid business case.

“IT decision makers no longer need to upgrade their ERP platforms to add additional functionality such as mobility, analytics, social and digital capabilities,” explained Rowe. “The vision for a next-generation ERP platform in the hybrid IT era is coexistence and flexibility, with individual solutions based on functional need, ease of use and agility.”

Licensees Frustrated with Oracle Annual Support

Survey respondents continued to voice their frustrations with Oracle annual support and maintenance inefficiencies. For example, Oracle annual support customers said that being required to “Upgrade to the Latest Release to Resolve” their support issue was their number one challenge. Additional reported challenges with Oracle support included time-and labor-intensive activities such as “Explaining the Same Issue Multiple Times,” and “Reproducing the Issue to Prove Its Validity.” A growing number of Oracle licensees are questioning whether they are receiving fair value for their annual support and maintenance contracts, which are typically calculated at the Oracle standard rate of 22% of the original cost to license the software.

“Oracle licensees are asking questions about whether they should remain on their stable and scalable on-premise applications or remain on a continuous and expensive upgrade cycle that does not allow for a strong return-on-investment,” continued Rowe. “At Rimini Street, we have dedicated the last 10 years to helping clients maximize the return-on-investment on their existing core ‘systems of record’ and avoiding unnecessary upgrades, while allowing them to continuously evolve and grow their business.”

In its second annual survey of Oracle application customers worldwide, Rimini Street collected data from executives and professionals across a wide variety of roles within IT and IT procurement, ranging from C-level executives (25% of respondents), to VP’s, directors and managers (64%). Respondents spanned major geographic regions, including North America (35%), Asia-Pacific (32%) and Europe and the Middle East (33%).

To download a copy of the survey results eBook, visit: https://www.riministreet.com/oraclesurvey2015.

To learn more, follow @riministreet on Twitter and find Rimini Street on Facebook and LinkedIn.

關於Rimini Street, Inc.

Rimini Street, Inc. (Nasdaq: RMNI)是全球領先的企業軟體產品和服務提供者、甲骨文和SAP軟體產品協力廠商支援服務的主要供應商以及Salesforce合作夥伴。公司致力於提供優質、超快回應和整合式應用程式管理和支援服務,能夠讓企業軟體授權使用者節省大量的成本,釋放資源用於創新,並實現更好的業績。來自各行各業的近2,100家全球性組織、財星500大企業、財星全球百大公司、中型企業、公共事業部門和其他機構都選擇Rimini Street作為其信賴的應用企業軟體產品和服務提供者。如需詳情,請造訪https://www.riministreet.com,在Twitter上@riministreet關注我們,並透過FacebookLinkedIn掌握Rimini Street的最新動態。

前瞻性陳述

本新聞稿中的某些聲明並非是歷史事實,而是《1995年私人證券訴訟改革法》安全港條款所定義的前瞻性陳述。前瞻性陳述通常含有以下詞彙:「可能」、「應」、「會」、「計畫」、「打算」、「預期」、「認為」、「估計」、「預測」、「潛在」、「似乎」、「尋求」、「繼續」、「未來」、「將」、「預計」、「展望」或其他類似詞彙、片語或表述。這些前瞻性陳述包括但不限於我們對未來事件、未來機會、全球擴張及其他成長動議和我們關於此等動議投資的預期的陳述。這些陳述根據不同的假設以及管理階層當前的預期,並非是對實際業績的預測,也不是歷史事實。這些陳述取決於與Rimini Street業務有關的多個風險和不確定性因素,而且實際結果可能會發生重大變化。這些風險和不確定性因素包括但不限於:COVID-19疫情的不明確持續時間和疫情對公司業務的經濟、營運和財務影響,以及政府當局、客戶或其他方面為防範COVID-19疫情所採取的措施;擾亂公司、公司現有或潛在客戶業務的災難性事件;Rimini Street營運業務環境的變化,包括通膨和利率以及影響Rimini Street所在產業的一般性金融、經濟、監管和政治條件;待決訴訟或政府調查或任何新訴訟的不利進展;以有利條款募集額外股本或進行債務融資的需要和能力,以及我們能否從營運中產生現金流,以幫助為我們成長計畫中增加的投資提供資金;我們的現金和現金等價物是否足以滿足我們的流動性要求;我們發行在外的13.00% A輪優先股的條款和影響;稅收、政府法律和法規的變化;競爭產品和定價活動;無法實現獲利性成長;客戶採用最近推出產品和服務的情況,包括 Application Management Services (AMS)、Rimini Street Advanced Database Security以及針對Salesforce Sales Cloud和Service Cloud 產品的服務以及我們預計將於近期推出的其他產品和服務;Rimini Street管理團隊損失一名或多名成員;RMNI股本證券長期價值存在不確定性;以及Rimini Street將於2020年5月7日呈報的Form 10-Q季報所列標題「風險因素」項下所討論的內容,Rimini Street未來的Form 10-K年報、Form 10-Q季報和Form 8-K現狀報告不時對此等內容的更新以及公司向美國證券交易委員會提交的其他文件。此外,前瞻性陳述僅代表本新聞稿發布之日Rimini Street的預期、計畫或對未來事件的預測和觀點。Rimini Street預計後續事件和發展將導致Rimini Street的評估發生變化。然而,儘管Rimini Street可能會在未來某個時間點選擇更新這些前瞻性陳述,但Rimini Street特別聲明,除法律規定之外,公司沒有這方面義務。這些前瞻性陳述不應被看作代表Rimini Street在本新聞稿發布之日後任何日期的觀點。

 

© 2020 Rimini Street, Inc.版權所有。Rimini Street是Rimini Street, Inc.在美國和其他國家的註冊商標,Rimini Street、Rimini Street標誌和兩者之間的任意組合以及其他含有TM標記的標誌均為Rimini Street, Inc.的商標。所有其他商標仍是其各自所有者的財產。除非另行說明,Rimini Street與此類商標所有者或本新聞稿中所提到的其他公司沒有任何從屬、代言或結盟關係。

投資人關係連絡窗口:

Dean Pohl

Rimini Street, Inc.

+1 925 523-7636 dpohl@riministreet.com
媒體關係連絡窗口:

Michelle McGlocklin

Rimini Street, Inc.

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