Re: Pricing Increases

From: LS Cheng <exriscer_at_gmail.com>
Date: Fri, 17 Jul 2009 21:15:48 +0200
Message-ID: <6e9345580907171215j78222336qc928a968ee0f7279_at_mail.gmail.com>



Oracle raised Database License prices in new FY as well

Was 30576 Euros per CPU (Enterprise Edition), new prices is 34081, raised almost 11.5%

I have customer who also complained that soon after Bea was merged all Bea products license raised up

Looks like "grab the money and run" not a very long term strategy :-)

--
LSC


On Fri, Jul 17, 2009 at 6:57 PM, kyle Hailey <kylelf_at_gmail.com> wrote:


> Maybe this is of interest more to the procurement departments and not DBAs,
> but I find it intriguing to hear Oracle is increasing the performance pack
> pricing from $3000 to $5000 per CPU especially in this economy:
>
> http://www.cio.com/article/497418/Oracle_Hikes_Prices_on_Database_Options
>
> Oracle Hikes Prices on Database Options
> Oracle has apparently raised the cost of some management options for its
> flagship database by 40 percent, according to an official price list dated
> July 1.
>
> Leave a comment (1)
> By Chris Kanaracus
>
> July 16, 2009 IDG News Service
>
> Oracle has apparently raised the cost of some management options for its
> flagship database by 40 percent, according to an official price list dated
> July 1.
>
> Processor licenses for the company's diagnostic and tuning packs, as well
> as a database configuration management pack, are now US$5,000, up from
> $3,500 listed on a 2008 price list.
>
> The first two products are meant to help database administrators target and
> resolve performance problems. The latter tool is used for a range of tasks,
> such as tracking database configuration changes and ensuring policy
> compliance.
>
> Agility is SOA Payoff
> SPONSORED BY CIO AND IBM
> Meanwhile, a processor license for the enterprise edition of Oracle's
> database remains priced at $47,500, following a roughly 20 percent increase
> last year.
>
> It wasn't clear Thursday whether other Oracle products also have seen price
> hikes. A company spokeswoman could not immediately comment.
>
> It is also not clear when the increases took place, but the lower prices
> were in effect on a price sheet dated Dec. 1, 2008. Oracle posts its updated
> price lists on the company's Web site, but does not typically announce when
> changes are made.
>
> Forrester Research analyst Ray Wang said Thursday his firm began examining
> the most recent price lists for changes after a sudden swell of chatter from
> sources in recent days.
>
> Although list prices are rarely what customers actually pay for software,
> the increases nonetheless raise the starting point for discount
> negotiations, and could upset customers prepared to buy new licenses even in
> the face of a global recession.
>
> But there may also be another game afoot, according to Wang.
>
> By raising list prices for licenses, vendors such as Oracle may simply be
> catering to the needs of corporate IT procurement managers, who are under
> pressure to get good deals for their employers and whose compensation can be
> affected by the level of discount they garner from a vendor, he said.
>
> When it comes time to negotiate, the vendor simply agrees to a steeper
> discount on the now higher-priced product, creating a "win-win" situation
> for both sides, Wang said.
>
> This is a potential problem for IT organizations, Wang added. "If you just
> focus on procurement, then you're not focused on the product adoption
> strategy."
>
> Copyright 2008 IDG News Service. All rights reserved. IDG News Service is
> a trademark of International Data Group, Inc.
>
> Print Comments (1)
> Share [+]
> READER FEEDBACK
> Anonymous Fri, 2009-07-17 05:40
> Why there is big customer reaction when SAP do a minimal hike is
> support.... Here Oracle incresed their price astronomially..No one here to
> lodge a protest here ??? ..This is too bad
>
>
> Kyle Hailey
> http://oraclemonitor.com
>
-- http://www.freelists.org/webpage/oracle-l
Received on Fri Jul 17 2009 - 14:15:48 CDT

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