Re:James Gosling, the ‘Father of Java,’ joins Amazon Web Ser...
by jakewins on Tuesday May 23, 2017 @11:34AM
(#14402083)
I don't know that it's fair to say that Oracle has survived the test of time; their core business has been on a steady decline for years; now they are playing catch-up in cloud and are talking about second derivative growth like they were an undergrad startup.
The fact is that they have not grown their top line for five years(1), 70% of their business is in a dying sector and they have opted to cut R&D spending in favor of stock buybacks and dividend payouts for years(2).
I don't see how they can change course; their investors keep asking for dividends while the bulk of their competitors are either privately owned or public with strong founder/owners; point being Oracles competitors are controlled by investors that want R&D spending, Oracle is not, and Oracle sorely needs R&D to build a portfolio that'll keep them from being yet another leveraged buy-out..
The fact is that they have not grown their top line for five years(1), 70% of their business is in a dying sector and they have opted to cut R&D spending in favor of stock buybacks and dividend payouts for years(2).
I don't see how they can change course; their investors keep asking for dividends while the bulk of their competitors are either privately owned or public with strong founder/owners; point being Oracles competitors are controlled by investors that want R&D spending, Oracle is not, and Oracle sorely needs R&D to build a portfolio that'll keep them from being yet another leveraged buy-out..