Seven signs it is Oracle’s year end

You might be able to tell what time of year it is by the blossom on the trees or bluebells in the woods. But for 甲骨文 customers stuck in an office somewhere, there is another way of knowing that it’s May without consulting a calendar.

A frenzy of Oracle sales calls, account managers getting in touch with a deep concern about licensing arrangements, and offers of discounts that will definitely disappear at the end of the month. That’s right, it’s Big Red’s year end.

Oracle’s financial year ends on May 31. For customers, it might be an opportunity to get discounts on the software they intend to buy, but equally Oracle will try to pressure customers by going around the main point of contact or raising the possibility of a software audit – if not directly threatening one.

Here, The Register speaks to four licensing experts to see what customers might expect from Oracle as it approaches the end of its financial year, how they might guard against its tactics, and find ways to work the situation to their advantage.

Craig Guarente , founder and CEO of Palisade Compliance - Independent Oracle Experts , an Oracle licensing advisory company, spent the first 16 years of his career working for Oracle to help it negotiate deals from the other side of the fence. The financial year end has always been a “crazy” time at Oracle, he says.

“It’s their Super Bowl, it’s their World Cup. It’s all hands on deck, with everybody working all the time. We could totally see if Oracle was on track to make its numbers or not because when the fire sale started, we knew we needed a bit more business in the quarter. I think that the mentality is still there. I don’t see your sales team having any less motivation than I did 20 years ago.”

Oracle is likely to have daily targets they report toward their fiscal year end so they can report the numbers in the current fiscal year. It is also the time of year when most big Oracle contracts come to an end and need to be renegotiated. For example, most Unlimited License Agreements (ULAs) – which experts warn do not offer the best prices to most Oracle users – tend to end at the same time as the financial year. Oracle might pressure customers to re-sign or negotiate hard on replacing it with perpetual licenses. Meanwhile, account managers can get a new roster of clients in the new financial year so they want to make sure their current deals are signed before the year’s end so they – and not their replacement – get the commission.

Oracle is entitled to charge for its intellectual property, and while heavy sales tactics can be frustrating, there’s nothing illegal in its approach.

For nearly all customers, getting off Oracle in the short term is not an option, even if it is desirable. Whatever the reason, Oracle will push hard to get deals done before the end of the month, using both the carrot and the stick. Here are seven techniques it might use and what users can do about them.

1. Oracle REALLY wants to talk to you

May is Oracle’s busiest time of year as the tech vendor tries to close deals with customers and ensure they are booked during the current financial year, which ends on May 31.

While it is Oracle’s numbers on the line, Big Red tries to make this part of its customers’ concerns, says Palisade Compliance’s Guarente.

“You can expect a lot of phone calls, a lot of meeting requests and text messages. I just asked one client if she heard from Oracle lately and she just laughed, she said they were calling every day.”

For an Oracle user in transformation, with many Oracle product ranges in its estate, it can be difficult to keep track, he says.

“They’re talking hardware, software, cloud, Java support, consulting, this particular company is in a transformation. They are moving to the cloud or upgrading the hardware. So there are a lot of moving parts.”

Scott Jensen , Oracle advisory practice lead at software purchasing and advisory firm SoftwareOne , says: “May can be our busiest month of the year as well because so many Oracle agreements are transacted in the month. There’s definitely an increased push and pressure from sales representatives, especially those who have not met their quotas by this point in the year. There’s certainly going to be a higher volume of emails phone calls, and escalations to managers within your organization.”

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