Rimini Street Slashes Maintenance Costs For Big Apps

Many SAP and Oracle apps customers would rather leave stable products alone than continually change, or “upgrade,” as it is called. For these customers, the cost of maintenance, also known as “buying it all over again every 4 years,” seems excessive. The slow pace of innovation from the mammoth firms, and the even slower uptake of those innovations, amplifies this. (For a recent discussion of this problem, see video highlights from Ray Wang’s keynote speech from the SAP UK and Ireland User Group. I discussed the resounding thud heard from Oracle’s “wait till next year” non-announcement of its Fusion apps here.)

With this backdrop, Rimini Street, one of the pioneering 3rd-party maintenance firms, recently announced stellar Q3 results: revenue up 200% year over year, and sequential quarter-over-quarter growth continuing: it claimed Q3 invoicing doubled the prior calendar quarter. Rimini Street’s value proposition has steadily attracted customers willing to try a different way. The company claims hundreds of customers since inception, all over the size spectrum. The offer is simple: their base price is 50% of the vendor’s maintenance price. Read more of this post

Oracle, Tone Deaf No Longer, Scores a Hit on SAP

Oracle, from the top down, has always been thought of as a take-no-prisoners marketing organization. Feisty, aggressive, even combative – and often tone-deaf when it comes to PR messages. But last week, they made an unexpected decision to waive extended support fees for a series of their products (official release here.) Against the backdrop of a raging software industry debate over maintenance costs, this was a sweet and pleasing note to Oracle’s customers, and stands in stark contrast to, say, SAP’s ongoing battle to defend its price hike for maintenance. Read more of this post