launches database-as-a-service solution to offer cloud-based database service for developers

Tags: CRMCloud computingDatabaseOracle Inc (
  • E-Mail launches database-as-a-service solution represents true cloud computing, says
By  Mark Sutton Published  December 9, 2010

CRM-as-a-Service provider is to take on Oracle with a new cloud database offering., the company's new database-as-a-service solution will provide a cloud-based database solution for a range of usages. says the new service will scale to meet user requirements, and will support all languages and devices, allowing developers to use it as a back-end database for any type of application.

While the service will be based on Oracle's database engine, will use other software around it, and will have all customers concurrently using a single set of services, rather than Salesforce setting up a new instance of Oracle for each customer. will provide services including database elasticity, replication, load balancing, backup, disaster recovery, high availability and automatic system upgrades.

Marc Benioff, chairman and CEO of, announced the new database offering at the company's annual user group meeting in the US.

The move puts Salesforce into direct competition with database giant Oracle. In September, Oracle CEO Larry Ellison criticised's service, saying they were not cloud computing and promoting Oracle's own Exalogic Elastic Cloud hardware appliance instead.

At the launch, Benioff countered that Oracle's approach represented a "false cloud".

"We know those old status quo players who want to hold on, to milk those cash cows. So they're spreading fear and doubt about the cloud. . . The cloud is not a box. It was amazing to me that that sort of positioning was still happening," said Benioff. "Databases need to move into the cloud, just like everything else. . . Ladies and gentleman, beware of the false cloud. It's not efficient, it's not democratic, it's not environmental." announced that it would offer a free, basic version of its service, for up to three users, 100,000 records and 50,000 transactions per month, with a tariff after that of $10 per month for each 100,000 records and $10 for each additional 150,000.

It was also reported last month that HP, which has also come in for criticism from Ellison recently, is planning on dumping its Oracle Siebel CRM application, and replacing it with

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