Microsoft and SAP pounce on PeopleSoft discontents

Following Oracle’s acquisition of PeopleSoft, and thus also the JD Edwards ERP suites, at the close of last year, enterprise software rivals are lining up to pick off disaffected existing users. Microsoft Business Solutions, for example, is offering hefty discounts on Axapta and its other three EPR suites, along with a migration programme, while SAP, fresh from its purchase of third party ERP support firm TomorrowNow, is also launching a migration service. Jon Hughes, director of Microsoft’s Partner Group, says his company is targeting JD Edwards and PeopleSoft users that, despite Oracle’s commitment, don’t like the new direction, and are at a point in their ERP lifecycle where re-evaluation against others’ systems makes sense. “There’s no specific target for this campaign. We just want manufacturers to know that if they’re worried about their future, then we’re here to help.” Microsoft isn’t offering wholesale discounts – the incentive is 25% off Microsoft tools, services and its software licence list price and, not its resellers consulting and implementation services. Nevertheless, with 17 of its partners signed up, including Alpha Landsteinar, WCI, Vorsprung, Tectura, Anglia, Columbus and Rad, it’s clear there is some determination here. “We’re working with our partners to get deals that are best value for potential users and for them,” says Hughes. Meanwhile, SAP, with impeccable timing, announced its latest acquisition the day after Oracle went public with its Fusion programme and the vision for what’s now a massively expanded applications business. Details of the purchase weren’t disclosed, but the strategic significance is unmistakable. TomorrowNow has been very PeopleSoft focused since its creation by former PeopleSoft managers. SAP’s approach seems to be two pronged. On the one hand it’s about providing PeopleSoft and JD Edwards users with an alternative source of support for their existing legacy applications. On the other it’s about offering extensions through SAP’s Netweaver integration platform, and migration services to SAP ERP. SAP says its focus on the latter, under a programme dubbed ‘Safe Passage’ will be aimed initially at corporate users currently running SAP and PeopleSoft of JD Edwards environments – of which, it believes, there are several thousand.