Welcome to the Cloud Wars Minute — your daily news and commentary show, hosted by Cloud Wars Founder Bob Evans. The next three minutes are packed with insights and perspectives around the “reimagination machine” that is the Cloud! Today’s Topic: How SAP and Oracle Could Topple Salesforce in Industry Cloud Apps
00:30 – Bob makes a prediction about this year and next year’s leading cloud vendors. He predicts they are going to start melding their traditional LOB enterprise apps with new, purpose-built industry cloud solutions. This represents an opportunity for SAP and Oracle to challenge Salesforce in the industry cloud market.
01:11 – An interesting angle in this competitive race is that Salesforce specializes in CRM and has never indicated that it wants to expand into HCM, ERP, or other types of apps. But SAP and Oracle work across all three verticals.
01:56 – SAP and Oracle have meaningful advantages to lean into when it comes to industry cloud innovation. However, Salesforce is currently way out ahead, with a $3.2-billion-dollar run rate. So SAP and Oracle need to be fast and aggressive to catch up.
02:21 – Bob suggests the best path forward for SAP and Oracle. First, he suggests that it’s to put industry-cloud capabilities at the top of their priorities list. Secondly, he suggests collapsing the two categories of “traditional” and “industry-specific” apps, as Salesforce did when it acquired Vlocity and made its CEO the new chief product officer.