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Oracle and SAP battle for ERP dominance: from petty skirmishes to applistructure strategies

by Staff -- Manufacturing Business Technology, 7/1/2005 12:00:00 AM

Despite conflict and competition, Oracle succeeded in acquiring PeopleSoft and Retek, and says its acquisition binge will continue. Yet SAP still sits squarely at the top of the market for enterprise applications. The question is, what's next in this battle of the titans?

Between them, SAP and Oracle own 62 percent of the ERP market in 2005, according to a survey by Boston-based AMR Research. But SAP has 43 percent of that, compared to only 19 percent for Oracle. SAP also has launched a "safe passage" program in an attempt to lure former PeopleSoft customers who may be skeptical of Oracle.

In retaliation, Oracle unveiled an "Off SAP" rebate plan. Going forward, the battle between the two leading enterprise vendors will continue to rage, and spread to new areas like the midmarket.

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