How SAP Exposed its Own Support Monopoly in the Oracle TomorrowNow Lawsuit

Executive Summary

  • In the TomorrowNow lawsuit, SAP accused Oracle of many things that equally apply to SAP.
  • The most important accusation being that Oracle uses coercive tactics to prevent customers from saving money on support!

Introduction

In the Oracle vs SAP on the TomorrowNow case, Oracle made a broad number of accusations against SAP. In order to defend itself, SAP made a number of statements that that while designed to protect SAP ended up exposing SAP virtually identical support model. In this article, we will cover these hypocritical statements.

The case has quotations in it that are surreal. Here is one.

“Plaintiffs bristle at the notion that customers may wish to lower their support fees and forego the right to future software upgrades. A senior Oracle executive wrote: ‘Let the bastards dream of reducing their maintenance fees. I just finished telling Toyota that we’re not going to reduce their bill. Not only that, but they need to buy more software from us!’

That attitude contributes to customers leaving Plaintiffs’ support.”

SAP? Oracle’s attitude? Where have we seen that exact attitude in another large vendor with a slightly different color scheme?

SAP’s Identical Model for Extracting Support

This is SAP calling out Oracle for not accepting competition for support. But SAP has the same support model as Oracle. All India outsourced support (lowest possible wages), desultory service, and 93%+ margins and constant lying to why customers must stay current on their support which is covered in the article Understanding SAP’s Declining Support. How does SAP produce the tone-deaf hypocrisy to call out Oracle for having the exact same perspective/policy on getting customers to keep paying their support (and scooping up their 93%+ margins) when SAP does the same thing?

SAP has the same type of emails that you see listed in this trial brief which are introduced as evidence against Oracle. SAP appears to be making Rimini Street’s argument in this brief! Thank you very much for sharing it.

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References

www.tnlawsuit.com/uploads/727%20-%20Defendants%20Trial%20Brief.pdf

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