Oracle, HP to team up for database hardware

By SiliconIndia   |   Saturday, 27 September 2008, 04:47 Hrs
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Boston: Oracle, a software maker and Hewlett-Packard (HP) are teaming up to vend powerful and specialized computers that companies use to analyze data on their business activities.

The decision is expected to expand Oracle's mark in the hardware business and put pressure on smaller players like Teradata and Netezza, which specialize in selling those devices, known as data warehouse appliances.

According to Forrester Research analyst James Kobielus, the machines are the most powerful data warehouse appliances that Oracle has ever developed. The products will help the company vie better with Teradata, whose machines have been able to crunch more data than ones from Oracle.

Companies use data warehousing equipment to store and analyze crucial data from customers and transactions. Phone companies looking to sell existing customers new products might look for clues on possible needs by analyzing call patterns with a data warehouse. Credit card companies store information on transactions, which allows them to quickly review new purchases in a bid to instantly identify fraud.

Redwood City, California-based Oracle has previously developed less-powerful data warehousing appliances with HP as well as hardware vendors IBM, EMC, Dell, Silicon Graphics and Sun Microsystems, analysts said.

Hewlett-Packard will manufacture the devices and Oracle's salesforce will sell them. Palo Alto, California-based HP, one of Oracle's closest business partners, ships more servers than any other computer manufacturer.

"You just can't slap together existing solutions in clever packaging and expect to deliver much faster performance," said Jim Baum, Chief Operating Officer, Netezza.

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