Oracle has taken a strong stance in its on-going court battle with third party supplier, Rimini Street. Whilst in a similar case SAP AG has admitted some liability (SAP agreed on August 4th to copyright theft claims brought against it by Oracle), Rimini Street is countersuing Oracle.
According to analysts, the Rimini Street court case will be hugely significant to Oracle customers and third party service providers in the future.
TomorrowNow is the bygone SAP subsidiary that Oracle claimed illegally downloaded Oracle updates and maintenance tools as it provided third party support to Oracle customers at half the cost of the vendor.
The ‘massive theft,’ of Oracle software and support materials, that Rimini Street has been accused of, is seen by many as a way for Oracle to defend its lucrative software maintenance revenues from being pilfered away. Rimini Street, however, has said that they took extraordinary measures to protect Oracle (and SAP’s) intellectual property.
Paul Hamerman, an analyst with Forrester research in Cambridge, Massachusetts, believes that companies who have delivered third party services are often afraid to go public for fear of legal repercussions, and some Systems Integrators do not offer the services due to the trepidation of losing their business partnership status with the software vendors.
It’s an interesting case to follow as a Rimini victory would open the door for more third party suppliers to come forward. But Oracle isn’t going to roll over without a fight. The supply of updates and maintenance tools to clients by Oracle partners is part of its channel to market and one that they will protect fiercely.
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