No licensing change: Oracle chairman

PeopleSoft customers won't be forced to move

Oracle won't change PeopleSoft's percentage-of-gross-revenue licensing scheme, unless customers opt to switch to another model, Oracle chairman Jeff Henley says.

Speaking to Computerworld Australia while visiting Sydney earlier this month, Henley said "our goal is to try to understand, first, the way PeopleSoft do business and not pull the rug out from under people.

"I'm sure over time we may give them some other alternative ... but for now we are certainly not going to try and change what customers are used to."

PeopleSoft's licensing regime, charged as a percentage of its customers' gross revenue, meant licence fees grew as its customers did.

Henley acknowledged that some former PeopleSoft customers may move away.

"We think we will lose some customers — customers that are very heavy SAP shops, but [use PeopleSoft] for HR, would be the likely cases where we would see some movement."

However, he believes Oracle's upcoming Project Fusion, its service-oriented architecture project that will incorporate Oracle, PeopleSoft and JD Edwards technology, will prove a lure that will more than make up for any lost customers.

Henley's visit to Australia was the first by a high-ranking Oracle executive since Oracle bought PeopleSoft in December. Although Henley didn't visit New Zealand, some local customers travelled to Sydney to hear him talk.

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