Oracle Buys Endeca: What it means

 

The eCommerce technology landscape continues to be reshaped in 2011. This morning the music stopped, and Endeca was sitting in the laps of Oracle, as they announced it has acquired the search, CXM, and BI* solution provider. This acquisition is a strong signal of Oracle’s focus on commerce and is a key piece in a larger puzzle.

Why did Oracle buy Endeca?

·         CXM. When Oracle bought Fatwire they cited the emerging CXM trend. But there was one problem, what was going to pull that all together with a strong, well-attributed, rich index of content, customer, and transactional data? Question answered as Endeca will fit in very nicely as a complement to ATG, Seibel, and Fatwire as a CXM solution to drive personalized, dynamic, contextual experiences across consumer/client touchpoints.

·         B2B. Endeca may be known as a search and guided navigation solution for B2C commerce sites, but it has a particularly strong value proposition for B2B companies with large complex product assortments – such as manufacturers and distributors across many industries. This acquisition will strengthen Oracle’s value proposition in B2B opportunities. Some may argue that search has been largely commoditized by Solr, but in these applications that is not yet the case. (That is evidenced by the combined success hybris and Endeca were enjoying together up to this point.) This acquisition will strengthen the Siebel, Oracle ERP, and ATG B2B offerings all together.

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