Oracle Launches New Appliance for Network Equipment Providers After GoAhead Deal

Oracle (NASDAQ:ORCL) has launched a new hardware appliance – the Oracle Communications Service Availability Machine – which is aimed at network equipment providers (NEPs). ^[1] The new product enables NEPs to offer high availability solutions to communication service providers that have zero downtime to accommodate the growing demand for applications on mobile devices like smartphones and tablets.

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Oracle offering Integrated Appliances for NEPs after GoAhead acquisition

The appliance includes Oracle’s communications service availability software by GoAhead, which it acquired in 2011. It is targeting the telecom industry by providing them with solutions to offer their customers better service by optimizing network and data usage. The software will be powered by Oracle’s bundled enterprise hardware solutions that the company acquired as part of Sun Microsystems in 2010. Instead of building optimized high availability capabilities into each application, NEPs can now use Oracle’s standard development environment to build and deploy applications quickly and easily.

“With increased adoption of real-time and near-real-time applications—especially on smartphones and tablets—service availability is a critical ‘must-have’ requirement and business need in the communications industry. Oracle Communications Service Availability Machine combines Oracle’s hardware and software leadership, and proven service availability software to help NEPs bring service available applications to market quickly, with minimal project risk, while helping ensure zero interruption of the customer experience,” said Nigel Ball, Vice President, NEP solutions, Oracle Communications.

Middleware and application software accounts for nearly 40% of Oracle’s value while Enterprise Servers account for around 8.5%.

Our current $38 Trefis price estimate for Oracle stands nearly 25% above its current market price. Oracle competes primarily with SAP (NYSE:SAP), Microsoft (NASDAQ:MSFT), IBM (NYSE:IBM) and HP (NYSE:HPQ) in the enterprise software market.

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1. Oracle Hardware-Software System Enables High Availability for Applications, eWeek [↩]