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Oracle Press Release

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Karen Tillman
Oracle
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Karen.Tillman@oracle.com
Jessica Epple
Oracle
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More than 500 Customers Have Selected Oracle over SAP over the Past 9 Months
SEC Filings Document Oracle Growing Faster than SAP in License Revenue
REDWOOD SHORES, CALIF.   15-MAY-2006 05:00 AM    Oracle announced today that companies worldwide continue to select Oracle Applications over SAP. Over the past nine months, more than 500 companies have invested in Oracle over SAP.

Oracle's market share gains are documented in SEC filings. According to Oracle's latest SEC filing, Oracle posted license growth of 82% (year over year) in the most recent quarter and 31% (year over year) excluding acquisitions (see page 39 of Oracle Form 10-Q). In contrast, SAP reported 14% license growth (year over year) in its latest filing with the SEC (see page 1 of SAP form 6-K). All figures are in constant currency.*

Additionally, 2000 SAP R/3 customers have registered in the "OFF SAP" program, or Oracle Fusion for SAP. Under the "OFF SAP" program, customers receive a 100% license credit for the SAP licenses as they migrate to Oracle Applications. The majority of SAP customers are running older releases that will be de-supported in December 2007. As SAP charges for upgrades, many customers are looking for alternatives, as the strong response to "OFF SAP" indicates.

"The facts speak for themselves - Oracle is growing faster than SAP. We've reached an inflection point. The era of proprietary applications is closing and Oracle is prepared and investing for the inevitable shift to open standards. The critical list of open standards for the software industry includes Web Services, Java, Linux and XML. ABAP and NetWeaver don't make the list. After all these years, SAP is the only software company shipping applications written in ABAP or running on NetWeaver," said Oracle President Charles Phillips.

Phillips continued, "Customers and partners are driving the shift towards industry standards because they want to leverage the growing community of talent around Java and Web Services. Additionally, systems are easier to integrate, maintain and secure when they share common standards."

Like thousands of other applications companies, Oracle today supports major enterprise applications that run on IBM WebSphere, DB2, SQL Server, the Oracle database and Oracle Fusion Middleware. Additionally, Oracle has committed to supporting WebSphere for its next-generation Oracle Fusion Applications.

Additionally, customers are signing up for "OFF SAP" and moving to Oracle Applications because of Oracle's deep industry expertise. Oracle continues to build and acquire applications that go far beyond administrative ERP applications. Oracle's industry applications for financial services, public sector, retail and telecommunications manage critical business process, and for the first time, customers can count on a large, strategic partner to support these applications.

Companies of all sizes and across key industries who have recently chosen Oracle Applications over SAP include: Aloes Industria e Comercio, Arabian Automobile Company, Baxter Foods, Cavium Networks, Dantzler, DeAngelo Brothers, Dendreon, DTAC, Dynacraft, Empacador Celaya S.A. de C.V., Estradas De Portugal, Ekurhuleni Metropolitan Municipality, FANUC America Corporation, Garden of Life, GDM Electronics, Gianni Versace, Gibson Oversees, Group Vogayers, Grupo Ciosa S.A. de C.V., Ingersoll Rand, Inter Primo, Maruti Udyog Limited, Maxiconsumo, McData, McGuigan Simeon Wines, Minnkota Power Cooperative Inc., NamyangAloe, Natexis Banques Populaires, NCH, PoliNoa, New Age Electronics, KSK Food Products, Radio Systems Corp., Remy Corporation, Sensient Technologies Corporation, SITA, Skellerup Industries LTD., Saudi Oger LTD., Swedish Defense Material Administration, Tabnor, Tecumseh, Taipei City Hospital, USA Technologies, Usinas Nova America, UTStarcom, Venturo/Venco Manufacturing Inc., Votocel, Welch Foods, Wonokoyo, York Water and Zhe Jiang Hangxiao Steel Structure Co., Ltd.

Cavium Networks
Cavium Networks, a world leader in security, network services and embedded processor solutions made a decision to select Oracle over SAP because of the robust shop floor management functionality and financial applications available in the Oracle E-Business Suite.

"We wanted an application infrastructure that fully integrated order management, general ledger and manufacturing reporting and controls for our semiconductor business, and one that adapted best practices in all functional areas,” said Cavium Networks CFO Art Chadwick. “We found that Oracle's offering was more flexible, scalable and adaptable to our business than SAP's. Implementing Oracle has given us the robust financial reporting and control system we need to grow our business."

Grupo Ciosa S.A. de C.V.
Grupo Ciosa was founded in Guadalajara, Mexico and is the leader of electrical automotive spare parts distribution. The company has a catalogue of 7,000 products and supports more than 2,500 clients in Mexico through an efficient service and delivery system which is a key competitive differentiator. In the last two years the company has expanded its market with the opening of a distribution center in Southeastern Mexico. Grupo Ciosa has also opened several stores for direct sale to customers in different cities. It is the first company of its type to obtain ISO 9000 2000 certification with a focus on customer service.

Grupo Ciosa invested in Oracle to monitor and control its financials, distribution, purchasing and inventory processes after taking a careful evaluation of SAP.

"Grupo Ciosa chose Oracle as an integral solution mainly due to its versatility to operate in a Web-based environment and because it also covers the highest priorities and needs of our business processes," said Grupo Ciosa CFO Alejandro Martinez.

About Oracle Applications
Oracle Applications, including the Oracle E-Business Suite, PeopleSoft Enterprise, JD Edwards EnterpriseOne, JD Edwards World and Siebel Business Applications, enable information-driven business processes that connect and automate an organization Developed to deliver business insight, adaptive industry processes and a superior ownership experience, Oracle Applications enable efficient management of all core business functions, such as customer interactions, financial management, human resources and supply chain management.

About Oracle
Oracle (NASDAQ: ORCL) is the world's largest enterprise software company. For more information about Oracle, please visit our Web site at http://www.oracle.com

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* Source: SEC Filings

- Oracle Q3 FY06 excludes middleware. 82% growth rate: page 39 or Oracle Form 10-Q filed April 2006. - SAP Q1 FY06. Page 1 Exhibit 99.1 of SAP Form 6-K filed April 2006. - Growth rates exclude currency rate fluctuations and reflect year/year comparisons.

Trademarks
Oracle, JD Edwards, PeopleSoft, and Siebel are registered trademarks of Oracle Corporation and/or its affiliates. Other names may be trademarks of their respective owners.

This document is for informational purposes only and may not be incorporated into a contract or agreement.

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