Whom will Oracle acquire next?

Oracle is going big on its acquiring plans, and a few big companies are in league. Here are some few companies going around the buzz for the acquiring plans made by Oracle.

1.) Informatica

Informatica is a company which many presume Oracle will like to acquire soon, as Informatica prides itself on “Enabling organizations to gain a competitive advantage in today’s global information economy by empowering them to access integrate and trust all their information assets”.

Informatica helps companies to consolidate and strengthen up their data and is well-known for its Extraction, Transformation, and Loading (ETL) tools.

An acquisition of Informatica could fill a very important niche in Oracle’s product line, thereby enabling Oracle to consolidate its position in data warehousing and analytics segment, which is one of the hottest growth areas in the database market today.

2.) Salesforce.com

Salesforce.com is a leading CRM company and a leading Cloud platform provider which Oracle is likely to acquire very soon. Salesforce.com being led by Marc Benioff is also an Oracle alumni with a great track record who has played a pivotal role in promoting a major architectural shift, and business model shift, in the IT industry, from “SaaS computing and Cloud computing”.

Currently valued at about $15 billion Salesforce.com the acquisition by Oracle can likely drive the price up to at least $18 billion. It’s hard to see how Oracle could make the financials of this deal work. This deal would also likely generate more regulatory scrutiny than a deal for Informatica, but I think this would also get approved under the same theory that led to approval of the acquisitions of Siebel and PeopleSoft.

Salesforce.com, Netsuite and Success Factors are the application companies that have been targeted by Oracle. What do they each have in common? Each is a SaaS application company.

Salesforce.com is a SaaS CRM company (with a growing Cloud platform (PaaS) business), whereas Netsuite is a SaaS ERP suite (with a growing PaaS business).  Success Factors is a SaaS human resources business. Acquiring any of these companies by Oracle is likely to help accelerate Oracle’s entry into the SaaS business aggressively.

Industry leaders are also predicting that Oracle has also plans of acquiring other companied predominantly in the SaaS and PaaS Segment like VMware, TIBCO, Success Factors, and Taleo the plans of which Oracle is currently not willing to disclose.

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