NOTE: GrowthBeat -- VentureBeat's provocative new marketing-tech event -- is a week away! We've gathered the best and brightest to explore the data, apps, and science of successful marketing. Get the full scoop here, and grab your tickets while they last.
Oracle plans to acquire cloud-based sales force automation and customer service company RightNow for $1.5 billion, the company announced Monday morning.
The planned acquisition makes a ton a sense in light of Oracle CEO Larry Ellison’s announcement earlier this month to finally push Oracle into public cloud computing after many years of shunning cloud services. The Oracle Public Cloud will let its customers use Oracle apps direct from the Web or deploy native apps in the cloud.
The acquisition of RightNow will help Oracle continue branching out in the cloud in a different fashion. RightNow’s focus is on helping clients with customer engagement and problem solving through social media, rich online interfaces and contact centers. With those services in tow, Oracle will be able to better compete with the likes of Salesforce.com, which Ellison has been critical of.
“Oracle is moving aggressively to offer customers a full range of cloud solutions including sales force automation, human resources, talent management, social networking, databases and Java as part of the Oracle Public Cloud,” said Thomas Kurian, Oracle Development Executive VP, in a statement. “RightNow’s leading customer service cloud is a very important addition to Oracle’s Public Cloud.”
Oracle’s offer of $1.5 billion equals $43 per share, a nearly 20 percent premium over RightNow’s closing price of $32.96 on Friday. Bozeman, Mont.-based RightNow said it has 2,000 customers and is currently listed on the NASDAQ stock exchange alongside Oracle.
CloudBeat 2011 takes place November 30 – December 1 in Redwood City, CA. Unlike other cloud events, we’ll be focusing on 12 case studies to dissect the most disruptive instances of enterprise adoption of the cloud. Using a customer-centric approach, these case studies will highlight the core components of the cloud revolution: security, collaboration, analytics, mobile usage, increased productivity, and integration. Join over 500 executives for two days packed with actionable lessons and networking opportunities as we define the key processes and architectures that companies must put in place in order to survive and prosper. Register now and save 25%.