Applications deployed on Oracle`s Oracle8i provide a much more cost effective solution than applications from the software giant`s competition, according to the latest Total Cost of Ownership (TCO) study from US research firm INPUT.
"The study demonstrates that the TCO of Oracle8i is at least 28% lower than for competitive products. In addition, it provides key proof points showing that Oracle is a much more effective solution by providing higher availability and supporting more users at a lower cost," says Kelvin Reynolds, national accounts manager for Oracle SA.
INPUT surveyed more than a hundred US-based companies covering a variety of industries and sizes. Each interview referred to an individual database within an organization and collected measures of TCO and effectiveness including software, upgrades, maintenance, implementation, operations, IT and end-user training and downtime costs.
Reynolds says the results of this survey are important since some competitors have argued that their database prices are lower than Oracle8i. "These companies are, however, focusing on pricing only and fail to mention other cost items associated with developing, deploying and running mission critical database applications.
"In today`s competitive e-business environment the initial investment and the TCO are two of the most important elements in the sale of a database platform. Only a TCO analysis can provide a thorough picture of IT costs associated with running database applications.
"Companies need to undergo rationalisation through the Internet environment and use technology to leverage value propositions, to become differentiators in the market and to ensure efficiencies. They also need scalable solutions - solutions which can scale to their anticpated growth.
"In transforming to an e-business companies cannot isolate the process of improving effeciencies, making savings and improving productivity from the automation of IT. They are one and the same and if companies get these two right they can achieve scalability and add value."
"Selecting and implementing e-business solutions is a complex and highly challenging task. And maintaining e-business solutions at the cutting edge requires constant attention to ever-changing business processes and technology advances.
"By using an integrated suite of methods, plus the right tools and enablers companies can investigate, implement and improve their e-business solutions to yield optimal strategic value to their enterprise, and meet ROI and TCO goals."
Reynolds says the INPUT TCO study measures budgeted costs as well as hidden costs such as underestimated consulting fees or unplanned downtime and their cost impact to the business. "The clear winner is Oracle8i."
Reynolds says key findings from the study are:
The total cost of ownership per named user and per year is 28% lower for Oracle8i than for competitive products.
The total cost of ownership per transaction per minute is 19% lower for Oracle8i than for competitive products.
The proportion of databases receiving hardware and software upgrades is lower for applications running on Oracle8i than for applications running on competitive products, resulting in an overall lower total cost of ownership
Oracle8i has better performance in real world environments and supports 16% more transaction throughput than on competitive products.
"This TCO study is proof that Oracle8i is the best choice for companies trying to move to an eBusiness model. Oracle8i provides IT organisations with a robust. cost-optimised solution that will help IT managers maximise their IT budget and deliver the most reliable solution to their end-users," Reynolds adds.
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