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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.

41 of 308 comments (clear)

  1. oracle by laurent420 · · Score: 5, Funny

    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."

    once again, the oracle has only told me what i needed to hear. ;>

    1. Re:oracle by carlos_benj · · Score: 3, Funny

      Windows still runs the most servers (not sites but servers) of any OS

      So is your contention that it takes more Windows servers to run fewer sites? That doesn't sound like bragging rights....

      --

      --

      As a matter of fact, I am a lawyer. But I play an actor on TV.

  2. 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?

    --
    Im dreaming ofa big bndwdth, That can resist the /.crowd.May ur days b merry & bright & may al
    1. Re:I know it sounds crazy, but by cybermace5 · · Score: 2, Funny

      Hybrid?

      --
      ...
    2. Re:I know it sounds crazy, but by the_consumer · · Score: 4, Funny

      Everybody knows that if a Mini and a unicycle mate, the offspring will be sterile.

      --
      "If you're thinking what I'm thinking, you're right." -
    3. 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.

    4. Re:I know it sounds crazy, but by dubiousmike · · Score: 2, Interesting

      The point he is making, though, is that the average customer buys the whole car (if the point is to be able to go from point A to point B; the business process). But nobody takes care of the 20,000 foot view of their business needs in one step. Instead, they seem to work on "projects", buying different parts, and hope that they can get them all to work together seamlessly. Could this be a big reason why Microsoft will lose the server war? They try to offer a suite of enterprise-ish components that are supposed to work seamlessly, but it seems that there are open source components that work faster/better and are free. Thus, many companies seem more willing as the minutes tick by, to make use of said components with custom implementation, saving money while gaining flexibility and freedom from proprietary requirements.

      He, working for Microsoft, wishes the industry ran more like Detroit and the mindset was such that people were willing to pay out the nose for a complete package of services and applications as they hoped when they planned out their company strategy. If you are to own a fleet of trucks, you get big discounts becuase you will service your own fleet and the manufacturer is released from most of the warranty. Your aunt needs Toyota to make sure her car runs while under warranty.

      Microsoft is very lucky that the home user does indeed need a "complete solution". The Linux distro install CDs go a long way to appealing to the traditional home user. But the games that you need Microsoft to play, and getting your computer pre-loaded with an OS and many tools/plugins needed for consumer internet browsing is why Microsoft really has a leg up on Linux. Until a major manufacturer starts shipping with a desktop Linux distro with Gaim (can't a distro just come ready to emulate Windows if necessary?), Flash/Shockwave/Real/Acrobat/Quicktime capabilities on by default when they first boot up, it will be tought to ever appeal to a mass market...

  3. takeover by zymano · · Score: 2, Interesting

    So is the reason for the Peoplesoft acquisition because they want to put a competitor out of business or take it over because they want peoplesoft's software maintanance ?

  4. Comment removed by account_deleted · · Score: 2, Interesting

    Comment removed based on user account deletion

  5. Re:sucky sucky, $24.95 at amazon.com by zontroll · · Score: 2, Interesting

    are you on bad crack? It's $19.60 at Amazon, not $24.95.

  6. if detroit was built like silicon valley by proj_2501 · · Score: 4, Funny

    sure they'd only sell parts, but you'd be able to get car parts, truck parts, tank parts, plane parts, train parts, crane parts, snowplower parts, tires, tracks, helicopter rotors, blueprints, jet fuel, nitrous oxide, spoilers, giant robotic arms, spray paint for the exterior, radar systems, chassis extensions, ROCKET LAUNCHERS, and reconfigurable engines.

    ANALOGIES SUCK.

    1. Re:if detroit was built like silicon valley by cybermace5 · · Score: 4, Funny

      sure they'd only sell parts, but you'd be able to get car parts, truck parts, tank parts, plane parts, train parts, crane parts, snowplower parts, tires, tracks, helicopter rotors, blueprints, jet fuel, nitrous oxide, spoilers, giant robotic arms, spray paint for the exterior, radar systems, chassis extensions, ROCKET LAUNCHERS, and reconfigurable engines.

      I think I saw a Honda something like that down on Main Street the other night, but it had floater lights too.

      --
      ...
  7. 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...

    --
    Ceci n'est pas une signature
  8. Re:sucky sucky, $24.95 at amazon.com by Space+cowboy · · Score: 2, Funny

    "are you on bad crack? It's $19.60 at Amazon, not $24.95."

    Wow! Amazon are certainly diversifying. I wonder if it'll get past customs if they gift-wrap it... Only if it's the good stuff though ....

    Simon

    --
    Physicists get Hadrons!
  9. Does it detail his support of H1B/Lower Pay? by DAldredge · · Score: 4, Interesting

    Does it detail his support of the H1B/L1 visa programs or his desire to drive US programmers wages down to the levels of Indian programmers?

    What about the use of H1B/L1 visa 'labor' to replace higher paid US labor at there offies in the US?

    Is any of that covered?

    As to those who say that H1B's have to be paid the same wages as Americans, please check. That was tied to the higher number of allowed visas and I do not think it applies any more.

    1. 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...

    2. Re:Does it detail his support of H1B/Lower Pay? by BigGerman · · Score: 2, Funny

      IMHO, on average, a group of IT people from India / China / Taiwan produces better talents than same number of Americans.
      Larry and Oracle recognized this fact early and cashed on it.

  10. Re:same price at amazon by Theatetus · · Score: 4, Funny
    Spend $5.40 more to get free shipping.

    I guess that's "free as in speech" shipping, not "free as in beer" shipping?

    --
    All's true that is mistrusted
  11. Re:Ellison, maniac! by leerpm · · Score: 4, Interesting

    Yeah, this guy is worse than Scott McNealy. He rants on Microsoft destroying innovation in the technology industry. But when's the last time Oracle actually came out with a new innovative product? The most forward thinking thing they have done was port Oracle to run on Linux early on.

    Then he rants about IBM's software and hardware business dying and them only selling services. Guess what Larry, the hardware and software businesses for 20-year old concepts like operating systems and relational databases is dying. And Linux is leading that trend, by commoditizing the software, and creating value in the support and services sector. People are willing to pay IBM for building new systems for them, but they don't want to continue spending ridiculous amounts of money on licenses ever year for your database software.

  12. "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?

  13. Am I the only one... by ultramk · · Score: 4, Funny

    Am I the only one who read the title and thought, Ewwwww ?

    m-

    --
    You catch enchiladas by picking them up behind the head and holding them underwater until they don't kick anymore -VeGas
  14. Old joke by gwernol · · Score: 2, Funny

    But a good one

    What's the difference between Larry Ellison and God? God doesn't think he's Larry Ellison...

    Boom, boom.

    --
    Sailing over the event horizon
  15. Re:Learn from Larry by Textbook+Error · · Score: 4, Funny

    no-iron slacks and no-iron shits

    Dude, if you're thinking of ironing your own faeces then you've got bigger problems than just dress sense...

    --

    Nae bother
  16. Postgres? by Anonymous Coward · · Score: 2, Interesting

    So, there is no mention of Oracle's technical
    strengths (like MVCC?) And, isn't Oracle to
    Postgres as Windows to Linux? Sounds like a
    crappy book!

  17. 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.

  18. C'Mon... by archaic0 · · Score: 4, Interesting

    ...While this book prefers not to discuss the burned-up Ferraris on Highway 101 and personal jet fighters...

    I don't know about you guys, but those sound like good parts.

    He tried to buy a Russian MiG jet fighter, but US customs wouldn't allow it and he blatantly upset San Jose-area officials by landing his private jet after the 11pm curfew imposed in the area. When you have $50 billion in the bank, a $10,000 fine seems like pocket change. Any guy who likes to defy convention and authorities, and flies fighter jets for fun, has to be cool. It's part of the definition

    I want more of those kinds of stories. For those of of un in the technology sector (most of the slashdot readership, I'm sure) we've seen most of Larry's career develop I think. Sure, a biography like this will have some stuff we all missed, but juicy tidbits like the jet fighter can't be left out.

    --
    [ http://www.dvigroup.net/self ] ...where I keep my pennies and nickels...
  19. Ellison's raging ego by McSpew · · Score: 4, Interesting

    I know the old joke about God not thinking he's Larry Ellison seems like an exaggeration, but Ellison's ego is uncontainable. I'd never seen him speak until I saw the segment about him on Cringely's Triumph of the Nerds PBS series. I was immediately repulsed by him. The man is obsessed with not only winning, but showing up his competitors. That's the difference between Bill Gates and Larry Ellison. Gates doesn't (publicly, at least) give a shit about Ellison. Ellison's obsessed with beating Gates.

    There are a lot of huge egos in the computer industry, but none are larger than Larry Ellison's.

    1. Re:Ellison's raging ego by MrDolby · · Score: 2, Interesting

      Yeah I saw him on that show, he instantly made me think he was the villian mastermind in a James Bond movie.

  20. 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.

    --
    A Good Intro to NetBS
  21. Re:What kind of article was that? Skip Askmen link by anagama · · Score: 3, Informative

    "overrated"?

    I feel it my duty to warn people off from the Askmen link. Here is an example:
    • As well as a billionaire, Ellison is also believed to be quite a multi-faceted character: playboy, world champion sailboat racer, sports nut, jet pilot, ruthless businessman, marketing genius, and avant-garde thinker. We weren't kidding when we said he is no ordinary businessman.

    You know, this article doesn't even say "database". Of course, it's on one of those horrible ad sites so the content is well disguised. If you want a better article, see Pingulars oddly modified post. Or what about Sunderland56's post about Ellison Abuse links on google? Also oddly modified

    These are interesting - Askmen is just "Seventeen" in disguise. It's a link to set cookies for advertisers (if you aren't a rejecter). It is NOT a geek magazine. Utterly useless. And the odd modifications of substantive information makes me wonder whether it's tin foil hat time here on Slashdot.

    --
    What changed under Obama? Nothing Good
  22. Free databases by doodleboy · · Score: 4, Interesting

    Ok, so Apache kills IIS and Linux kills Windows in the server space. How is it that MySQL, postgreSQL, et al don't kill Oracle? Why is Oracle spared when the rest of the proprietary software industry falls victim to commoditization?

    Just wondering.

  23. ethical? by Jafafa+Hots · · Score: 2, Informative

    I had some personal contact with L. E.

    ethical is about the last word I would use to describe him.

    --
    This space available.
  24. 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.

  25. The irrelevance of Silicon Valley to Larry Ellison by Animats · · Score: 2, Interesting

    The funny thing about Larry Ellison in Silicon Valley is that he's mostly ignored here. He has the database business, but nobody else in the Valley does much in that area. His ventures into new technologies like thin clients, video streaming, and supercomputers have all been duds. Oracle is viewed as a large but boring enterprise applications company like Computer Associates, SAP, or Automatic Data Processing.

  26. Larry Ellison doesn't often mention... by emil · · Score: 4, Informative
    1. That Craig Conway, CEO of Peoplesoft (ERP), was once an Oracle VP.
    2. That Tom Siebel, CEO of Siebel Systems (CRM), was once an Oracle VP.

    Oracle has chased multi-million dollar businesses right out of its management structure - and then spent millions trying to duplicate this competing software to (re)capture market share.

    I would be really interested to hear Larry's take on Oracle's mistakes. I'd also like to hear how he plans to compete with a free product from SAP-MySQL that begins to implement the equivalent features of his database.

  27. Oracle=Better Design by rohar · · Score: 2, Interesting

    Oracle is staying ahead because multiversioning reads are a better database design for 24/7 hybrid (OLTP/OLAP) systems (i.e. ecommerce and just about everything else).

    PostgreSQL is the only other product out there (including MS-SQL Server, DB2, Postgress, Informix, Sybase and MySQL(unpatched)) in which reads don't block writes and vice-versa.

    The row level locking is also an original design in Oracle, where SQL Server and DB2 it is an add-on and both of them will eventually run out of row level locking resources and escalate to table locking.

  28. 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

    --
    I think I see a trend here. Maybe for them it really would be easier to muzzle the entire internet than to produce p
  29. Whoracle by Lexor · · Score: 2, Interesting

    I worked for Oracle, we actually called it "Whoracle". It was one of the worst experiences of my working life.

    As for analogies, if I could have a car with a Honda engine, American styling, etc. then I'd be a happy person. Oracle certainly doesn't do everything right, they have a good database and that's about it. It's incredible overkill for most mid-sized business though, yet they cram it down the throat of everyone they can.

    Ellison is no genius, his core business was actually built on the infinite resources of U.S. Military Black Ops contracts. Sure he hates Gates and MS, but only because he didn't get there himself.

    --
    Regards, Lex
  30. 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.

    --

    Manipulate the moderator system! Mod someone as "overrated" today.

  31. Re:ethical limits? by Pig+Hogger · · Score: 2, Funny
    A company will spend hundreds of thousands, if not millions, of dollars for a building with locks on the doors to keep whats inside secret. $50 for a paper shreader is not an unreasonable expense to provide for.
    You obviously never had to deal with a accountants before.
  32. Larry owes me time in that Garden by byterbit · · Score: 2, Informative

    As a Sr. Oracle DBA who has experience on a variety of Database systems as well as coding, architecture, and QA, I must say that Larry owes me time in that Garden of his.

    Oracle is built like a GM car in 1972 - badly. It started as a powerful database engine that has now got so much... crap... tacked onto it that is a kludgy mess. Larry wants to be the next Enterprise System of Everything (tm). It's rather like going back to IBM in the sixties - one system, one shop, one software, one hefty price.

    A running joke in California is the established list of consultant fees for the State Government. Oracle has the highest rate per hour. The next highest consultant fees are for Nobel Prize-winning think tank consultants.

    Larry was THE man with THE right answer at THE right time - a powerful database with SQL that resided on multiple platforms of the day. His salesmanship has parlied it into Software #2. But is his vision anything more than Market Hype nowadays?

    Oracle is still plagued by Theta style (WHERE clause) joins, while SQL Server has used JOIN systex. To get Oracle to run well and keep it running requires a lot of knowledge, much of it "tribal". I personally don't mind it much, as being a "high priest" of oracle secrets keeps me employed and my databases running.

    I am encouraged by Larry's continued support of Java and simplifying his price schedule, but how much of this is in reaction to the SQL Server threat?

    Quite honestly, I find SQL Server a breeze to work with compared to oracle - and most of my fellow DBS's have agreed with me (well, 4 out of 5).

    This rant ends, as mine always do, with a trip to the bathroom.

    --
    "Nothing in the world can take the place of persistence. Talent will not. Nothing is more common than unsuccessful men w