Enterprise

Mark Hurd Explains Oracle's Biggest Problem Vs. HP's Biggest Problem

Read in app
mark hurd
Associated Press

Quick: If you had to name Oracle's biggest problem what would it be? Lousy hardware sales? Lawsuits? Its reputation as being too arrogant with customers?

Ha!

Oracle President Mark Hurd says its main problem is that most of its revenue comes from a relatively small number of customers. He was speaking today at a conference for industry analysts who cover Oracle, reports the VAR Guy blog.

When someone in the audience asked how customers can have a better relationship with Oracle, Hurd answered that 60% of Oracle's revenue comes from 2,000 customers. The problem is an "awareness issue" meaning customers aren't aware of all the other stuff Oracle sells.

Sounds like he's saying: if customers want Oracle to be a better IT partner, customers need to step up and buy more stuff. We think he has that backwards ... customers will buy more stuff if they love the company as much as they like its products.

HP isn't a warm fuzzy company to work with either. But it does have a better reputation, held over from its early days. Hurd says HP's biggest problem was that it was more into using tech than selling it.

“My biggest concern at HP eight years ago was our IT spend was bigger than our R&D spend. We had 19,000 IT people and 16,000 sales people. Imagine telling David Packard: ‘We had scaled our way to that, aren’t you proud?'" he said.

Are you an Oracle or HP employee with a story to tell? We want to hear it. We are discreet. jbort@bjinnox.com

Read next

Julie Bort was Business Insider's Editor at Large for the Tech team. She loves investigating stories and shedding light on the tech industry's most amazing people.Here's a small sample of some of Julie's work.Former Pinterest employees describe a traumatic workplace where managers humiliate employees until they cry, Black people feel alienated, and the toxic culture 'eats away at your soul'Sex, tequila, and a tiger: Employees inside Adam Neumann's WeWork talk about the nonstop party to attain a $100 billion dream and the messy reality that tanked itInsiders say WeWork's IT is a patchwork of cheap devices and Band-Aid fixes that will take millions to fixWeWork's toxic phone booths were created in-house by its Powered by We business70-hour weeks and 'WTF' emails: 42 employees reveal the frenzy of working at Tesla under the 'cult' of Elon MuskElon Musk works so many hours at Tesla, employees are constantly finding him asleep under tables and desksHow this woman went from a Pizza Hut employee to a founder of a $4 billion startupAn Oracle insider explains how some salespeople gamed the system to sell more cloudTHE TAKEDOWN OF TRAVIS KALANICK: The untold story of Uber's infighting, backstabbing, and multimillion-dollar exit packagesMicrosoft is in talks to buy GitHub, a startup at the center of the software world last valued at $2 billionThe alarming inside story of a failed Google acquisition, and an employee who was hospitalizedInside Facebook's plan to eat another $350 billion IT marketHow a registered sex offender wound up living in an Airbnb hosting unsuspecting guestsA controversial ex-banker is the person who really runs Twitter — and he's gambling the company's future on one risky betSecret passages and skipped meals: Oracle's CEO gave us a rare peek at what it really takes to run a $37 billion companyHP told some employees to choose between becoming contractors with no benefits or being fired without severance'I felt like we were being extorted': Customer says Oracle tried to strong-arm him into a cloud saleHow the queen of Silicon Valley is helping Google go after Amazon's most profitable businessAirbnb host: A guest is squatting in my condo and I can't get him to leaveLIES, BOOZE, AND BILLIONS: How one of the fastest-growing startups in Silicon Valley history raised $580 million then spiraled out of controlGitHub is undergoing a full-blown overhaul as execs and employees depart — and we have the full inside storyWhen she's not writing for Business Insider, Julie can usually be found on the trails, on my mountain bike, or on my skis, if you know where to look.