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Strategic Alliances –Strategic Alliances Sequent & Oracle

SequentSequent

Our Business is Your Success

Copyright © 2004 - 2010 Cendix

Sequent HistoryTimeline & Milestones

Sequent started

100 GB Oracle RDBMS- Sequent: 136- HP: 7

Balance (NS 320xx)Symmetry (Intel x86)

Symmetry 2000

- Sun: 2

y yptx/Cluster

Symmetry 5000NUMA-Q (STiNG)U Q (S G)

IBM

1983 1985 1987 1989 1991 19951993 1997 1999


Oracle Program (1995)

Sequent/OracleRelationshipProgram

Sequent/Oracle Leverage Revenue

RelationshipManagementsqnt: $300m (75%)oracle: $57m (3%)

Oracle the Sequent Customersqnt: $5m (1%)

$300m leverage

Oracle Sequent the Oracle

$300m leverageoracle: $57m leverage

Oracle Applications Customer

sqnt: $30m (7.5%)oracle: $15m (1%)

sqnt: $30m leverageoracle: $0 (0%)

$15m leverage


g

Strategic AlliancesMulti-Layer Partnership Model

Public Relations



Sales & Marketing



Product Development



Reciprocal Customers



Strategic Alignment

The Core


Strategic AlliancesSequent/Oracle RelationshipPublic Relations- Periodic press releases

Reciprocal Customers- Oracle ran their business on SequentPeriodic press releases

- Publish benchmark results- Publish strategic customer wins

Sales & Marketing

Oracle ran their business on Sequent- Oracle developed core software on Sequent- Sequent ran most benchmarks on Oracle- Sequent largest Oracle App’s siteg

- Joint training & team building- Joint product collateral- Success stories- Bundled product offers

Strategic Alignment- Regular executive briefings- Joint strategic initiatives (VoD, TB+ DB, …)

Executive outings & customer callsp- Reciprocal customer visits

Product Development- Hardware specific development to increase Oracle performance (e.g. PQO)

- Executive outings & customer calls- Joint demo’s & benchmarks

a d a e spec c de e op e t to c ease O ac e pe o a ce (e g QO)- Sequent Engineers on-site in the Oracle core development group- Specific project groups for strategic initiatives and benchmarks- Oracle released first on Sequent (reference platform)- Sequent Engineers on-site in the porting group


q g p g g p- $10M+ Sequent owned hardware on-site

Market ForcesCost/Value Natural Selection Model

$$$competitive pressure:

IBMStratusU i

Cost ofSolution

$$

competitive pressure:volumes drive

down unit R&D cost

Unisys

SequentSolution

$

DellCompaq

SunHP

Value(Completeness)

0

Dell


( p )

Applied Business StrategyLessons Learned

• Strategic Alliances can be a Competitive Advantage

• Returns Require Investment (time/resources)

• Strategic Alliances are not Created Equal• Create a portfolio of partners• Group based on strategic importance• Set investment level based on importance• Set investment level based on importance

• Retain Holistic Market View• Natural selection can be your friend• Natural selection can be your friend• Natural selection can be your end• Don’t become an entree


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