Oracle,
the international provider of online HR solutions, has denied reports that it
will discontinue PeopleSoft’s applications if it succeeds in its takeover of
the company.
Last
week, PeopleSoft Inc. rejected Oracle’s bid to buy outstanding shares at US$16
per share, amid fears that PeopleSoft customers would be forced to change their
systems to those of Oracle.
Charles
Phillips, executive vice-president of Oracle, reassured PeopleSoft customers
that they would not be “killing their product”.
“We
are not saying they have to migrate,” he said. “The key message is that
PeopleSoft customers get to keep what they are doing.”
But
industry insiders have voiced fears that Oracle will cease the development of
PeopleSoft applications, a move that would be the ‘death knell’ for any product
in the IT industry.
David
Rippon, chairman of UK user group Elite, said: “Anybody using PeopleSoft would
be forced to migrate to Oracle at some point in the next three to five years,
and there will be cost involved in doing that.”
