Insights for IT Negotiations

Salesforce beat Wall Street revenue and earnings estimates, posted 33% overall revenue growth for the quarter and had a net loss of $109M while maintaining previously raised full year guidance. During the earnings call, Chairman and Co-CEO, Marc Benioff also restated the lofty $35B revenue target for FY24. It is clear that in order to effectively double their revenue in five years, they will need to get more customers to buy into and adopt the Customer 360 (now Customer 360 Trust) which will include an expansion of the customer’s Salesforce portfolio. They are counting on this as well as getting ramped adoption and revenue from recently acquired MuleSoft and Tableau. In this podcast, Adam Mansfield shares his perspective on how Salesforce is going to achieve these goals and discusses what Salesforce’s loyal customer base needs to start preparing for.

One of the most eye-opening announcements made at Dreamforce came during Salesforce’s Investor Day Finance Review presentation where Salesforce set an ambitious goal for themselves - reach $35B revenue by FY24. The target itself is eye-catching but the fact that it will require them to double their revenue in just four years is even more noteworthy. In this podcast, Adam Mansfield shares his perspective on how Salesforce is going to achieve this lofty goal and discusses what Salesforce’s loyal customer base needs to start preparing for. Host: Adam Mansfield: https://bit.ly/3rPGp8r SalesForce Commercial Advisory Services: https://bit.ly/37hFkMV

For many reasons, SAP customers are increasingly looking to refresh their SAP hosting strategy and turning to hyperscalers like AWS, Microsoft Azure, and Google Cloud. Given the pace of change in the hyperscaler market, there are many considerations that organizations should keep in mind as they evaluate their options. In this podcast, IT Sourcing and Commercial Advisory Practice Director, Justin Parker, discusses what is driving the shift to hyperscalers and shares 6 recommendations for developing a sourcing and vendor management strategy that is well-positioned to support your SAP hosting objectives now and in the future. Host: Justin Parker: https://bit.ly/3C895y4 SAP Commercial Advisory Services: https://bit.ly/3yjImwb

Google’s parent company, Alphabet, reported that revenue was up 20% but profits were down 23% in Q3 FY19. Profits were impacted significantly by the 25% increase in expenses associated with new employee additions largely tied to technical and sales roles at Google Cloud as well as Google Cloud’s ongoing investments in infrastructure. Alphabet is clearly betting on and significantly investing in Google Cloud to better compete with Microsoft and AWS. Now the pressure is on Google Cloud’s new sales leadership team to close more enterprise deals. In this podcast, Adam Mansfield shares his perspective on why Google Cloud is not breaking out their Google Cloud revenue and what to expect from the Google Cloud sales team if you are an enterprise on their radar.

When the Department of Defense (DoD) first issued an RFP for the Joint Enterprise Defense Infrastructure (“JEDI”) last November, Oracle almost immediately filed a lawsuit claiming that the RFP process violated federal procurement law. After being removed from consideration, Oracle continued to go to court and lost on the grounds that Oracle failed to meet the requirements. Oracle has since appealed that ruling, but on Friday, the DoD announced that it is awarding the $10B JEDI cloud contract to Microsoft over AWS. In this podcast, Oracle Practice Leader, Jeff Lazarto discusses what this means for Oracle and how Oracle’s persistence in the matter could impact its reputation. For more on this topic, read the related blogs: Victim Card – Oracle Whining and Litigating for the JEDI Deal and Why Oracle’s Government Legal Battles Matter for Customers Host: Jeff Lazarto: https://bit.ly/37eCXdN Oracle Commercial Advisory Services: https://bit.ly/3jdtF7p Related Blogs: https://bit.ly/3im7ooJ https://bit.ly/3jgRbk5

Microsoft had another strong quarter with overall revenue growing 14%. Its Q1 FY20 earnings call made it clear that Microsoft is going to rely on their ability to infuse innovation (like AI) into its offerings to differentiate themselves, increase customer spend, and win more business. In this podcast, Adam Mansfield shares his perspective on how Microsoft is performing and discusses what to expect from Microsoft as they continue to push more enterprises towards Microsoft 365 and Azure. Host: Adam Mansfield: https://bit.ly/3rPGp8r Microsoft Commercial Advisory Services: https://bit.ly/2V78ADX

Less than a month after his departure from SAP, it was announced that Bill McDermott will join ServiceNow by year-end 2019 as President and Chief Executive Officer and a member of the Board of Directors. He is replacing John Donahoe who is leaving to become Nike’s new CEO. McDermott will now have the chance to lead a cloud-only software company where he will bring not only his years of industry experience but also a large rolodex of connections he has made within enterprises – a space that ServiceNow is trying to penetrate and expand within. In this podcast, Adam Mansfield discusses what this means for ServiceNow and what to expect if you are current ServiceNow customer or considering ServiceNow. Host: Adam Mansfield: https://bit.ly/3rPGp8r ServiceNow Commercial Advisory Services: https://bit.ly/3ls6VDt

It’s always important to pay attention to how a vendor within your portfolio is performing and what is said in their earnings call but this is especially true when there is a CEO change as significant as the one that just happened at ServiceNow. Q3 FY19 is the first earnings call since the shocking announcement that CEO John Donahoe is being replaced by former SAP CEO, Bill McDermott. Their comments in the call sheds light on how the company and its focus will change with McDermott at the helm. In this podcast, Adam Mansfield shares his thoughts on how ServiceNow is performing and what current ServiceNow customers should expect going forward. Host: Adam Mansfield: https://bit.ly/3rPGp8r ServiceNow Commercial Advisory Services: https://bit.ly/3ls6VDt

Outsourcing your Infrastructure Managed Services comes with its own sets of risks. Poor planning and preparation creates undue risks that could have been mitigated upfront. In this podcast, IT Sourcing & Commercial Advisory Practice Director, Greg Hall, shares five common risks that can derail your efforts, break your business case, and start you off on the wrong foot with your chosen provider. He also walks through each one and discusses what you can do to mitigate these risks to position yourself for success. Host: Greg Hall: https://bit.ly/3CcaELp IT Services Sourcing and Negotiation Support: https://bit.ly/3A5Hcov

There has been much confusion and anxiety around Java use this past year and many organizations are still not sure whether they are required to purchase a commercial license. Concerned about the potential financial exposure that could be tied to Java use in the event of an Oracle audit, many readers and clients sent us questions and comments in response to Senior Advisor, Erwann Couesbot’s blog, The Top 3 Reasons Oracle Java Users are Unknowingly Out-of-Compliance. In this special interview-style podcast, UpperEdge’s Marketing Manager asks Erwann some of the most common questions we received including the top question: “How can I ensure my organization is in compliance with regards to our Java use?”. Host: Erwann Couesbot: https://bit.ly/2WIKJdX Oracle Commercial Advisory Services: https://bit.ly/3C8PnSR