Thanks for reminding me about discounts. For example, when I purchased a DEC minicomputer and associated DEC software, DEC gave me a very good deal. This is because at that time they wanted to enter into the small business marketplace and they saw a 100MM book distributor as a step in that direction. I do not realize that Informix was that aggressive in obtaining customers where they would be willing to discount 50% for approcimately 200 or more seats. I do understand that you were giving an example for illustrative purposes, so I will not hold you to the specific numbers :).
I do see that the marketplace for the US product will be very large companies which is Oracle's terratory. I also see more likely of a sell to large companies that are replacing their existing data processing infrastructure on a corporate downsizing effort for example. This is where the money is.
In other words, would a customer be willing to purchase US for a specific new application? This is a significant purchase, both in money and possible integration costs with other existing databases and user applications on the network. Networked applications and associated data rarely remain its own "island" in today's need for interoperability and information sharing. I can see the costs are much more managable at lets say 200 or more seats on the initial purchase only. Still, this is a pricey solution for a particular application when you consider this will be introducing an entirely new database into the infrastructure. Many of the smaller companies that I am familliar with would hesitant in doing this. Still, we are talking *large* companies with substantial DP budgets. This is a luxury that I never had.
How does US compare with Oracle's current database software? Can US take some of this business away from Oracle while providing a solution to specific application development needs through their object oriented technology? I do believe the only way US will take substantial business away from Oracle is if it can provide simular database functionality to Oracle's current database for the customer, besides providing additional functionality through their object oriented technology. After all, the money in the market place is to be made on enterprise databases, and not special apps that sit on their own network in the corner of the room. I still can see the US "object oriented" advantage can possibly be used for specific application requirements which also can be used by Informix to get Informix's "foot into the door" of their prospective client. I suspect this will to a large extent depend on the development and marketing of the datablades for US, and the the existence of applications that "prove" this new technology from Informix. It also would be helpful if Informix released a "developer's kit" along with an associated API which would simplefy the inhouse developement of datablades for COBOL type of data processing shops.
I am impressed with Informix's ability to focus on performance issues with a new object oriented product. This is a smart move by the company. Maybe this US product will not be a "pig with wings" like Oracle's database software (which is not object oriented) which requires an increase expenditure in iron to run the thing. I also would think the object orient approach can scale well if properly implemented both by Informix and their customer related to application development and database management issues.
Another consideration is related to US entering companies that already have invested in Oracle technology. If the company is using the Oracle database software for their enterprise database needs, would this type of company purchase an Informix product instead of waiting for Oracle to come out with theirs? Investing in Oracle's database technology is a pricey undertaking in itself, even for large companies. For that matter, how well does US interoperate with other databases?
My comment on many companies waiting for Oracle's product to validate the use of this new object orient technology applies to both Oracle and non-Oracle customers. My guess is that (correct me if I am wrong) many large companies who are in Oracle's marketplace do look to Oracle before they make a choice on new database technology, particularily if they already are Oracle's customer. The choice of the purchase and introduction of new database software by a company is generally a purchase not taken without much consideration and planning. The planning of database software purchases I would think occur in at least the 3 to 5 year time frame. However, if they need the new technology *now* (unlikely in the general case) or it is necissary for specific application needs, then I can see them purchasing US.
Comments anyone?? |