Oracle Database Under Threat in SAP Shops?

A number of reporters visiting the Mastering SAP event in Sydney, Australia, wrote that there is a buzz among SAP customers who run their systems on Oracle databases to think about changing their database strategies in the future.

When asked about which database they would likely be migrating to in the future in an informal survey, the majority answered surprisingly: Microsoft SQL Server.

Here’s a quote from BusinessInsider.com that explains why this is actually not so surprising:

It’s attractive because it offers technology similar to SAP HANA (features known as columnar and in-memory storage) and its prices start at $11,000 per terabyte. It can run on comparatively lower-cost hardware such as new servers by Dell, too. Microsoft and SAP have been partners for years.

So why not chose SAP’s new HANA database then? ZDNet says the following about this:

When it came around to a discussion on HANA, there was much debate about whether customers will put their OLTP systems on this as yet to be available database. The question in my mind is whether there is any real advantage in moving to HANA which today, can provide huge speed improvements in analytic style scenarios. The answer is a heavily qualified ‘maybe.’ HANA’s columnar store thrives on complex aggregation queries but is slow when trying to replicate what amount to row store calculations where an Oracle performs very well.

Links to the full articles:

SAP Engineer Says Their New HANA Database Runs Circles Around Oracle’s Database

Business Insider has an interesting interview with Vishal Sikka, the SAP engineer that created the HANA database with his team of developers. In the first six months the HANA database generated $200 million in sales. And the claims in speed and performance are quite outrageous. Check out these quotes from the article/interview:

Given a chance, he’s happy to rattle off the happy customers who have already yanked out their old database and replaced it with HANA.  He says that two such customers have become members of the “100,000K club” which means that HANA runs 100,000-times faster than their previous database.

One large Japanese retailer used to need three days to process its customers rewards program. With HANA it now takes three seconds.

“The son of the owner of company runs the IT department. He was so psyched he called me,”  Sikka laughs. It actually took them longer — five hours — to calculate and verify the performance improvement numbers than it did to issue its rewards. The company can now offer its customers on-the-spot rewards while shopping in the store, based on the items loaded in the shopping cart.

This is hard to believe, but if it is only partly true, this could mean serious competition for Oracle.

Link : Business Insider – The Guy That Created SAP’s Hottest Product Ever Thinks It Will Squash Oracle Like A Bug