MS ups ante in fight for database market

Software giant introduces sales strategy to win market share from its two main competitors

By Ian Marsh

26 May 1997

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Microsoft is launching an attack against its two arch-rivals Oracle and IBM in an attempt to steal database market share.

Sources suggest that at least 300 of the 500 sales and marketing people recruited worldwide over the next year will be hired for the software giant?s application customer developer unit (ADCU), to help drive database sales.

According to Gordon Smillie, who is heading Microsoft UK?s ADCU, the software vendor has doubled its resources in the UK for SQL Server and Exchange. But he refused to comment further on Microsoft?s hiring policy.

Smillie said: ?Microsoft has been a main target of Oracle, Sun and IBM for the past two years. Now it?s Microsoft?s turn to face them. NT used to be the leader of the pack, but we?ve now moved to SQL Server in terms of our sales focus.?

IBM and Oracle claimed to be undaunted by the threat from Microsoft. David Topping, marketing manager for IBM?s worldwide data marketing, said: ?It is not Microsoft?s core competency, but the channel may take it on trust because it?s Microsoft and find out about the trouble later ? like, does it scale and does it work? Our ambition is to keep them out and we?ve got an aggressive sales team to do it.?

Allen Swann, director of Oracle alliances, said: ?Microsoft?s product [SQL Server 7] has just been delayed by 12 months, so that makes it sound like it?s really gunning for us doesn?t it?

?I?m not going to lose any sleep over it, but I?m not complacent either. Of course we will be significantly increasing our marketing budget.?

ADCU, which is in the process of being set up in the UK, will have up to 50 people in the division, including pre-sales and post-sales support teams.

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