AppExchange 2.0 – the Oracle killer?

September 22, 2006

“We will destroy Oracle and SAP because they won’t be able to respond to the innovation we are about to unleash”.
Marc Benioff (CEO-Founder SalesForce.com)

Why is a software company that has only been around since the turn of the century able to make statements like this? Maybe because Marc Benioff is a big mouth and a hell of marketer or maybe because he is correct? Why would AppExchange ever have an opportunity to take Oracle out of the picture?

Innovation is finally leading the way
Back when the Internet boom first occured it was fueled by ideas. Innovation was a leading factor in the success of some of the early Internet companies. Yahoo!, Amazon.com, Dell and many others all had innovative ideas. New ways of doing the same thing. Yahoo! produced easy to use tools and search engine that made finding information easy. Amazon.com made purchasing books easier then ever and Dell revolutionized the way we purchased computers. These companies were all successful (and continue to be successful) because they were innovative.

Somewhere along the way a “shakedown” occurred and all of the companies that were truly not innovative crumbled. Granted some companies crumbled for other reasons but most simply because they did not innovate. Look at some of the popular technologies making waves in the world today during this new technology boom: Google, MySpace, YouTube, Flickr, Zillow.com, SalesForce. Why are they successful? Well it’s simple, they are innovative. Google … do I really need to discuss any of these? They are all flipping the online software world upside down with their innovative features.

With all of this complexity wee need simple tools
In all of the companies I mentioned making waves in the world today, they all have one thing in common (save Zillow.com which can be a bit busy) – they all do what they do and do it well. Is there really any simpler search engine then Google? For those users out there who no nothing about HTML is there any easier way to publish your thoughts and connect with your friends then MySpace? And YouTube – c’mon – dosen’t get any easier.

The Interent is expanding and not only in the amount of computers and sites available but also the number of people who are using it. As the number of users grow so does the diversity of that user. In it’s infancy the web was used primarily by those individuals that have grown up on computers. The classification of “Intuitive Interfaces” had to change.

In the words of Marc Benioff:

“The future of technology is all lower cost and easier usage,”

AppExchange 2.0?
In light of all the changes that have occurred in the recent past as it pertains to on-line software what makes Marc so certain that his innovation will change the world of on-line information storage? Right now we can only wait but in a few weeks we will know what Marc and company are thinking

At the heart of ADN at Dreamforce is technology — the features, tools, and APIs that will inspire developers looking for new ways to innovate. At ADN, salesforce.com will preview the biggest update ever to the AppExchange Web services API, one of the industry’s most popular Web services.

Combining concepts from service-oriented architecture (SOA) and Web 2.0 patterns, this new API will open the door to applications that can combine on-demand with traditional software, and Internet services with each other. In addition, a new set of tools for building directly on top of the AppExchange platform will make it possible to create sophisticated, enterprise-class solutions — capable of meeting the most challenging business requirements — on demand, and without software.

From the “DreamForce 06” web site.

I only wish that I could be there for the announcement.

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