Oracle (NASDAQ:ORCL), one of the biggest enterprise software makers, announced that it has acquired Endeca Technologies, which develops software for unstructured data management, web commerce and business intelligence solutions.^[1] Oracle aims to boost its enterprise data management capabilities using technology developed by Endeca. Oracle is the largest player in the database space with more than 50% share of the total database market. It competes primarily with SAP (NYSE:SAP), Microsoft (NASDAQ:MSFT) and IBM (NYSE:IBM) in enterprise software.

We currently have a $40 Trefis price estimate for Oracle, of which around a third is contributed by its Database business. Our estimate is nearly 25% above its current market price.

Check out our complete analysis for Oracle.

Oracle Aims to Further Efforts in Big Data and BI tools

Oracle recently announced the launch of its own big data appliance, and also stated that it plans to make Oracle’s database offering the single solution for any type of data – structured and unstructured. Endeca’s core technology allows companies to correlate and analyze structured and unstructured data. Oracle will presumably be bundling its features with its big data appliance as well as its business intelligence tools.

Bolstered by these new offerings, we expect Oracle’s database market share to increase to 54% by the end of the forecast period.

Additionally, Endeca also provides a customer experience management platform, which Oracle could use to bolster its own CRM offering.

Thomas Kurien, EVP, oracle Development said:

Together, we will provide best-in-class technology to manage structured and unstructured data together; business intelligence tools to analyze structured and unstructured data together; and a broad suite of packaged applications which extends the value of unstructured data into ERP, Supply Chain, CRM, EPM, Web Commerce, and specialized applications. This technology will also allow us to integrate more comprehensive unstructured data management into Oracle’s engineered systems.

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