Feeds

Oracle resellers: 'Give us our cash and make it snappy'

Oracle playing scrooge with rebates

Choosing a cloud hosting partner with confidence

Oracle resellers are praying for quicker turnaround times for rebate payments under the revamped model, as many are struggling with cash-flow issues.

To qualify for the kick-backs unveiled last week, dealers must satisfy three criteria: they must register all deals on the vendor's Open Market Model (OMM) system; services must be attached; and the sales must be outside of Oracle's top 2,000 direct accounts.

This is the first time Oracle will dish out funds for hardware and software sales, and for products it deems strategic – lines that will change every six months.

"Claiming rebates has been painfully slow," said one Oracle house, "I've no idea what the new system will look like, but I hope it's an improvement on the old one."

On completing the acquisition of Sun last year, Oracle shelved all hardware rebates until September – when it backdated claims to June – but under the historic system, it reported all channel sales under one P&L and did not segment them.

As a result it had to retrospectively go through the numbers manually to allocate rebates accrued by resellers through their distributor, which caused the delay.

Under OMM, Oracle can track rebates more effectively, and in theory dish the cash more quickly and use the system to forecast sales.

One reseller source said it was typically waiting three to four months for rebate settlements and complained that it still had to pay staff bonuses, which put an obvious strain on cash flow.

According to US reports, Jim Standard, Oracle group veep for global channel sales, said the day the company made public its quarterly earnings it would be able to "start reconciliation with our partners".

"We need time to do this," said Standard. "We've dealt with the channel for many years. For us to be able to account for the rebates and be exact, we need to wait for the quarter to close," he was reported as saying.

Oracle EMEA said it had no further comment. ®

Internet Security Threat Report 2014

More from The Register

next story
NSA SOURCE CODE LEAK: Information slurp tools to appear online
Now you can run your own intelligence agency
Azure TITSUP caused by INFINITE LOOP
Fat fingered geo-block kept Aussies in the dark
NASA launches new climate model at SC14
75 days of supercomputing later ...
Yahoo! blames! MONSTER! email! OUTAGE! on! CUT! CABLE! bungle!
Weekend woe for BT as telco struggles to restore service
Cloud unicorns are extinct so DiData cloud mess was YOUR fault
Applications need to be built to handle TITSUP incidents
BOFH: WHERE did this 'fax-enabled' printer UPGRADE come from?
Don't worry about that cable, it's part of the config
Stop the IoT revolution! We need to figure out packet sizes first
Researchers test 802.15.4 and find we know nuh-think! about large scale sensor network ops
SanDisk vows: We'll have a 16TB SSD WHOPPER by 2016
Flash WORM has a serious use for archived photos and videos
Astro-boffins start opening universe simulation data
Got a supercomputer? Want to simulate a universe? Here you go
prev story

Whitepapers

Designing and building an open ITOA architecture
Learn about a new IT data taxonomy defined by the four data sources of IT visibility: wire, machine, agent, and synthetic data sets.
10 threats to successful enterprise endpoint backup
10 threats to a successful backup including issues with BYOD, slow backups and ineffective security.
Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Managing SSL certificates with ease
The lack of operational efficiencies and compliance pitfalls associated with poor SSL certificate management, and how the right SSL certificate management tool can help.