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Softwar : An Intimate Portrait of Larry Ellison

prostoalex writes "In the high-tech industry few people achieve such glamour and general recognition as Larry Ellison, the chief executive officer of Oracle Corp. Ellison is known for provocative interviews, for being called the industry's 'other billionaire,' for being brutal to the competitors while staying within ethical limits, and for genuine opposition to a Redmond-based software company called Microsoft." Read on for the rest of Alex's review. Softwar : An Intimate Portrait of Larry Ellison and Oracle author Matthew Symonds, Larry Ellison pages 528 publisher Simon & Schuster rating 7/10 reviewer Alex Moskalyuk ISBN 074322504X summary Insight of Larry Ellison and his corporate identity known as Oracle Corp.

Matthew Symonds took a leave of absence from The Economist in March 2000 to follow Ellison in his daily routines, his management meetings, his sales calls and his regattas. But he is not the only author of the book. After the manuscript was ready by Symonds' standards, Larry Ellison took over the footnotes. Both co-authors agreed not to change each other's text, but Ellison felt he had to clarify certain points about his life, career, and vision. Softwar is somewhere in the middle between biography and autobiography -- the life of Larry Ellison is retold by another author, although the book is uniquely personal with Ellison's remarks constantly adding to the personal touch of the book. Statements like "It was a big mistake, and it was my mistake. I didn't think that Microsoft Windows would crush IBM OS/2 and all the other desktop systems -- but it did" allow Ellison to showcase his personal viewpoint in a straightforward and succinct manner.

Unlike many biographies, Softwar doesn't start with Ellison's poverty-ridden childhood in a poor Russian-immigrant family, where he was an adopted kid. That story comes much later, but from the Chapter 1 we're involved in Oracle's selling process, with Ellison talking to the Japanese executives, Ellison giving a keynote speech, Ellison talking to his sales reps - it's all about Ellison, and it's all about selling. Rarely in the book will you see a description of the actual coding process or any description of software development practices at Oracle, which by revenue ranks second among the global software corporations. It's all about sales calls, support calls, commissions, discounts and sales numbers in the million and billion dollar range - Ellison is as concentrated on the financial revenues as a CEO could possibly be.

A supporter of open standards, Ellison does not like the cacophony of enterprise-scale products offered to the companies. "If Detroit ran like Silicon Valley, nobody would sell cars -- just parts", he proclaims. "Customers would have to figure out which were the best parts -- a Honda engine, a Ford transmission, a BMW chassis, GM electrical system -- and buy them and try to assemble them into a working car. Good luck. I know it sounds crazy, but that's how companies put together business systems today".

Since Symonds followed Ellison everywhere he went, the readers get to see Ellison's lifestyle, observe his Japanese gardens in Atherton, meet with Oracle vice-presidents and sales people, follow him in regattas, while listening to a heavy dose of why Oracle E-Business Suite is going to revolutionize many businesses around the country.

The author covers Ray Lane's departure from Oracle in great detail, while Ellison is profuse with comments on why Lane needed to be let go. Market moves of Oracle's main competitors -- Siebel, SAP and PeopleSoft -- are also followed closely, with obligatory disparaging remarks coming from Ellison about what's wrong with each competitor's business. Sometimes I felt the book got too much into describing Oracle politics, like departmental and subdivisional re-organizations with pointers on who was managing which operation, but perhaps the book would lose detail without it. If you have been employed at Oracle, or know some of the people personally, perhaps it's interesting; most of the time the descriptions of policy changes in sales force compensation is perhaps too mundane for a biographical book.

For instance, on page 139 Symonds describes Lane's pending departure to become the CEO of Novell. Symonds presents Lane's point of view:

"He said he'd talked to the board and he thought $2.5 million in options was the right number. You deserve it. I thought he'd gone way overboard, so of course I stayed. I didn't find out until I left Oracle that the board was pissed off about this. No one ever told me, and I certainly wasn't holding Oracle up for money."
Lane's quote is followed by an asterisk with a footnote from Ellison: "Not a holdup? He said he was going to Novell because of the money. I offered him more money to stay. It was a classic holdup. He stayed."

This book being a recent publication, it covers a lot of Oracle products in detail, supplemented by Ellison's viewpoints on how this or that product is going to change a certain business or industry. While Oracle is hardly a household name outside the IT field, the author makes a great effort to explain Oracle server product family in simple terms, without going too basic. Competition (and general resentment) with Microsoft runs throughout the company, and Ellison is not afraid to accentuate it. Mark Jarvis, a senior marketing official, supplied an interesting quote about Microsoft's practices and current Linux outlook: "Linux is the first thing that customers ask about. They love it." And as for Microsoft, "When they felt threatened by Netscape, it was just another company with a known HQ that could go out and bomb. But that won't work with Linux, just as it didn't work with Apache. Apache creamed them, and so will Linux. Microsoft has lost the server war."

Softwar provides an interesting insight into one of the largest software corporations, its business practices and famous personality of its chief executive officer. While this book prefers not to discuss the burned-up Ferraris on Highway 101 and personal jet fighters, we see Ellison as a serious and dedicated businessman. Ellison shares his experience from the past mistakes, talks about the current practices, and what he sees best for the company, emphasizes the idea of network computer as still useful and applicable to desktops, envisions Linux taking over the world (with Oracle supplying a lot of backend databases) and provides his insight into the future of technology. The book is a great read for those willing to find out more about Oracle or Ellison personally, as well as a primer on technology development and its future (from Oracle standpoint).

You can purchase Softwar from bn.com. Slashdot welcomes readers' book reviews -- to see your own review here, read the book review guidelines, then visit the submission page.

12 of 308 comments (clear)

  1. I know it sounds crazy, but by aardwolf204 · · Score: 4, Insightful

    Customers would have to figure out which were the best parts -- a Honda engine, a Ford transmission, a BMW chassis, GM electrical system -- and buy them and try to assemble them into a working car. Good luck. I know it sounds crazy, but that's how companies put together business systems today".

    So whats wrong with that? Sounds like a fun project if you ask me. How about a Mini Cooper / Unicycle hybrid?

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    1. Re:I know it sounds crazy, but by bug-eyed+monster · · Score: 2, Insightful

      Isn't this how house construction works? If I want to build a house (or even a building) I can choose the different parts separately, wall coverings, light fixtures, plumming, etc. Then hire a contractor to put it all together. To be fair, I can also buy a townhouse with more limited choices.

      I think housing is a better analogy than cars. Cars provide a single function (more like a PVR or gaming console), houses provide the shell and the instruments to perform a variety of functions just like computers.

  2. Hardly by Doctor+Faustus · · Score: 1, Insightful

    for being brutal to the competitors while staying within ethical limits

    Like buying out a competitor to avoid competing
    with their product? I think we have different ideas about ethical limits.

    1. Re:Hardly by pirhana · · Score: 2, Insightful

      In fact even though we bitche about microsoft and bill gates, others are not much different. As Oscar wild had said, their morality is the lack of opportnity. Thus SUN, which was a "better" company showed its true color by funding sco FUD and ellison showed it with failed coup attempt against Peoplesoft. In fact, I am sure most of these companies would be the same or even worse than microsoft had they been having such a cash balance and market share.

    2. Re:Hardly by IM6100 · · Score: 3, Insightful

      Indeed. Mr. Ellison was a pioneer in the field of vapourware. There is a long history of his salespeople selling features to their database product then rushing back to the developers to see if it can be added.

      And since we're talking about ethics, Ellision wrote the text book on sexual harassment in the high-tech industry, having sexual relations with high level female employees, then firing them within a week of the romantic breakup.

      It's really a mistake to read a 'friendly' history of Mr. Ellison. There are far better and less biased books about Ellison and Oracle, for instance: this one which the big jerk must HATE.

      If you look up the term 'Asshole in a suit' in the dictionary, you should find Mr. Ellison's picture on the page next to the defintion.

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      A Good Intro to NetBS
  3. Bouwahahahah by heironymouscoward · · Score: 3, Insightful

    few people achieve such glamour and general recognition...

    Few people outside communist dictatorships have invested so much money and time in such a powerful personality cult...

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  4. "Ethical" limits? by Anonymous Coward · · Score: 5, Insightful

    for being brutal to the competitors while staying within ethical limits

    I think you are mistaking the difference between "ethical" limits and "legal" limits. There's a wide gap.

    Ever hear of PeopleSoft?

  5. Re:Does it detail his support of H1B/Lower Pay? by BigBir3d · · Score: 3, Insightful

    Face it, for what most H1B/L1 types do... paying an American 3x as much just doesn't make economic sense when you are trying to keep your company making a profit! If the tool is available, use it. By not using it, you make yourself less capable to compete. Certain big, profitable, companies know this. The rest piss and moan about how unfair it is... as they lost money hand over fist.

    If $10 comes in, and $12 goes out...

  6. How is buying a company unethical? by BoomerSooner · · Score: 2, Insightful

    It's done in business every day. Hell that is the only thing my parent company knows how to do (that is how the company I work for got purchased). I have a difficult time understanding the thought that it is unethical to buy out a competitor. Remember they don't have to sell.

  7. Yeah, but an entire car is illegal! by Richthofen80 · · Score: 1, Insightful

    A supporter of open standards, Ellison does not like the cacophony of enterprise-scale products offered to the companies. "If Detroit ran like Silicon Valley, nobody would sell cars -- just parts", he proclaims. "Customers would have to figure out which were the best parts -- a Honda engine, a Ford transmission, a BMW chassis, GM electrical system -- and buy them and try to assemble them into a working car. Good luck. I know it sounds crazy, but that's how companies put together business systems today".

    Yeah, and when you try and package the entire car, you get sued for product integration, like IE being built into Windows.

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    Reason, free market capitalism, and individualism
  8. Ellison, the Self-Made Man by llywrch · · Score: 3, Insightful

    > Unlike many biographies, Softwar doesn't start with Ellison's poverty-ridden childhood in a
    > poor Russian-immigrant family, where he was an adopted kid.

    I'm not sure if the reviewer was being tongue-in-check when he wrote that, or was honestly bamboozled by Ellison's PR machine. I am sure that when I read that, I remembered the comment his older step-sister once made on Ellison & his background: ``Every time I read about my adopted brother, the old neighborhood seemed to drop another notch on the socioeconomic scale."

    According to Gary Rivlin, who wrote in his _The Plot to Get Bill Gates_, Ellison ``had grown up in a tidy community, home to its share of judges, doctors, and univeristy professors. His stepfather had known failure, but by the time his nephew came along, the senior Ellison was working respectably if dully as a bean counter for the local public housing agency. Their two-bedroom apartment was small and money may have been tight, but it was hardly the fough-and-tumble world that Ellison conjured up later in life."

    Geoff

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  9. Ethical? by t0ny · · Score: 3, Insightful
    for being brutal to the competitors while staying within ethical limits

    I wouldnt say that; neither the "brutal" (in other than a blustering vocal way) nor the ethical are true.

    Once again, Slashdot puts somebody on a pilliar just because they ARENT Microsoft.

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