Presentation is loading. Please wait.

Presentation is loading. Please wait.

Copyright © 2015, Oracle and/or its affiliates. All rights reserved. JD Edwards Summit Cloud Model Choice Private, Hybrid, and Lesser-Known Models for.

Similar presentations


Presentation on theme: "Copyright © 2015, Oracle and/or its affiliates. All rights reserved. JD Edwards Summit Cloud Model Choice Private, Hybrid, and Lesser-Known Models for."— Presentation transcript:

1 Copyright © 2015, Oracle and/or its affiliates. All rights reserved. JD Edwards Summit Cloud Model Choice Private, Hybrid, and Lesser-Known Models for Partners Lee Bank Senior Director of Alliances & Channels Oracle Financing January 2015

2 Copyright © 2015, Oracle and/or its affiliates. All rights reserved. Safe Harbor Statement The following is intended to outline our general product direction. It is intended for information purposes only, and may not be incorporated into any contract. It is not a commitment to deliver any material, code, or functionality, and should not be relied upon in making purchasing decisions. The development, release, and timing of any features or functionality described for Oracle’s products remains at the sole discretion of Oracle. 2

3 Copyright © 2015, Oracle and/or its affiliates. All rights reserved. Creating Competitive Advantage Give partners the option to provide perpetual license rights at the end of the service term Drop software input costs to $0 for customer renewal terms Allow customers to leverage existing software licensing and hardware investments Recover implementation costs upfront even when customer payment is spread over the solution term 3 Cloud Model Choice for Partners

4 Copyright © 2015, Oracle and/or its affiliates. All rights reserved. Program Agenda Partner Choice Any Cloud Understanding and Benefiting from Component Break-up Tradeoffs and Considerations for Each Model Next Steps 1 2 3 4 5 4

5 Copyright © 2015, Oracle and/or its affiliates. All rights reserved. Cloud Model Partner Choice 1)Oracle Public Cloud – SaaS applications (CRM, HCM, ERP… Taleo, Endeca, Eloqua, Responsys) – IaaS, PaaS, XaaS 2)“Synthetic SaaS” Model – Bring Your Own License (BYOL) – Portable SaaS 3)“SI’s Proprietary Solution” Model 4)Business Process Services (BPS) 5 Public Cloud, Private Cloud, Hybrid and Lesser-Known Models

6 Copyright © 2015, Oracle and/or its affiliates. All rights reserved. What Qualifies as a “Cloud” Solution? 6 ? Cloud / SaaS Solution Model  Off-Premise, Hosted  No IT or Data Center Resources Required  Seamless Bug Fixes and Upgrades  Fixed Term (with Termination Fee)  Monthly (or Periodic) Payments  No Ownership / No Capital Expense (Services / OpEx Accounting Treatment) Cloud / SaaS Solution Model

7 Copyright © 2015, Oracle and/or its affiliates. All rights reserved. Inside the Cloud “Black Box” 7  Off-Premise, Hosted  No IT or Data Center Resources Required  Seamless Bug Fixes and Upgrades  Fixed Term (with Termination Fee)  Monthly (or Periodic) Payments  No Ownership / No Capital Expense (Services / OpEx Accounting Treatment) Cloud / SaaS Solution Model Implementation / Services Support & Upgrades Hardware Data Center & Managed Svs Database Middleware Applications Software Operating System Implementation / Services Support & Upgrades Hardware Data Center & Managed Svs Database Middleware Applications Software Operating System Traditional On-Premise Solution Model All or only some “layers” One-to-Many or One-to-One (ISV or SI) Single or Multiple Vendors

8 Copyright © 2015, Oracle and/or its affiliates. All rights reserved. Decoupling Cloud Solution Components 8  Off-Premise, Hosted  No IT or Data Center Resources Required  Seamless Bug Fixes and Upgrades  Fixed Term (with Termination Fee)  Monthly (or Periodic) Payments  No Ownership / No Capital Expense (Services / OpEx Accounting Treatment) Cloud / SaaS Decoupled Illustration Implementation / Services Support & Upgrades Hardware Data Center & Managed Svs Database Middleware Applications Software Operating System Implementation / Services Support & Upgrades Hardware Data Center & Managed Svs Database Middleware Applications Software Operating System All or only some “layers” One-to-Many or One-to-One (ISV or SI) Single or Multiple Vendors

9 Copyright © 2015, Oracle and/or its affiliates. All rights reserved. Contracting / Structuring Options by Component 9 Traditional T&M or Fixed; billed as delivered Incurred by partner “upfront,” but recovered over solution term Cloud / SaaS Decoupled Acquisition / Contracting Options Implementation / Services Support & Upgrades Hardware Data Center & Managed Svs Database Middleware Applications Software Operating System Direct with Oracle Co-sell, Re-sell, or Pass-thru with Partner Previous licensing transaction ULA in midterm Proprietary, Private Label, Re-sell or Reference (Partner’s Partner) Third-Party

10 Copyright © 2015, Oracle and/or its affiliates. All rights reserved. Cloud Model Partner Choice 1)Oracle Public Cloud – SaaS applications (CRM, HCM, ERP… Taleo, Endeca, Eloqua, Responsys) – IaaS, PaaS, XaaS 2)“Synthetic SaaS” Model – Bring Your Own License (BYOL) – Portable SaaS 3)“SI’s Proprietary Solution” Model 4)Business Process Services (BPS) 10 Public Cloud, Private Cloud, Hybrid and Lessor-Known Models

11 Copyright © 2015, Oracle and/or its affiliates. All rights reserved. Cloud Model Partner Choice 11 Public Cloud, Private Cloud, Hybrid and Lessor-Known Models Model Name (licensing model)Licensee (on Oracle Order)Price List / Products 1. Public Cloud Applications/Subscriptions (SaaS/subscription only, no perpetual rights) End-customer only (direct, resell to be introduced, referral) Cloud only 2. “Synthetic SaaS” (subscription-structure option with perpetual rights) End-customer (direct, resell/co-sell)All Oracle Apps/Tech 3. “SI’s Proprietary Cloud Solution” (subscription-structure option with perpetual rights) Partner (direct or resell from VAD and/or VAR) All Oracle Apps/Tech 4. BPS (Subscription only, no perpetual rights)Partner onlyMost all Oracle Apps* 2,3 Operating or expense structure options 3 Can include all software, hardware, partner services $ $ $

12 Copyright © 2015, Oracle and/or its affiliates. All rights reserved. Tradeoffs & Considerations 12 + - “Synthetic SaaS” Any contract term (12-60 mos) Customer (not partner) has all payment risk Allows for operating or capital expense accounting treatment Customer builds equity towards perpetual license purchase option No contractual obligation for partner to provide or define “BPO Services” Easy to include partner’s implementation or other services Customer can change hosting vendor or take solution in-house (at end of term) Vendor contracts / pricing is exposed to customer Best only for IT-savvy customers Least repeatable model

13 Copyright © 2015, Oracle and/or its affiliates. All rights reserved. Tradeoffs & Considerations 13 + - SI’s Proprietary Cloud Solution Partner can offer any pricing / structure / terms Partner receives end-of-term purchase option (large profit upside with customer) Flexible terms for transfer of perpetual software license to customer (if desired) Reallocation of tech hosting licenses to a different customer (but not Apps licenses) Highly repeatable model Partner owns all payment risk Difficult to include implementation services

14 Copyright © 2015, Oracle and/or its affiliates. All rights reserved. Tradeoffs & Considerations 14 + - BPS (Oracle Business Process Services Resell) Easy – standard price list Pretty packaging (opaque pricing) Operating expense payment match revenue cash flows Smaller margin Partner owns payment risk (except in the case of customer bankruptcy) BPO agreement required; Partner must meet BPO Go-to-Market Program requirements and demonstrate BPO expertise and ability No ownership option; no equity / credit created towards purchase

15 Copyright © 2015, Oracle and/or its affiliates. All rights reserved. Next Steps Schedule a Partner Cloud Models Workshop – Workshop/deep-dive into model tradeoffs and considerations – Customize the discussion to your and your customers’ requirements (one-to-one) It’s your choice – Don’t believe “That product/functionality isn’t offered as a SaaS/Cloud solution” – Use choice and flexibility to create competitive, economic or GTM advantage Contact info: – lee.bank@oracle.com – 305.531.8022 15

16 Copyright © 2015, Oracle and/or its affiliates. All rights reserved.16

17


Download ppt "Copyright © 2015, Oracle and/or its affiliates. All rights reserved. JD Edwards Summit Cloud Model Choice Private, Hybrid, and Lesser-Known Models for."

Similar presentations


Ads by Google