We use cookies to provide you with a better experience. If you continue to use this site, we'll assume you're happy with this. Alternatively, click here to find out how to manage these cookies

hide cookie message
80,259 News Articles

IBM set to replace Siebel with open-source SugarCRM

According to reports, IBM is the second vendor in recent months to replace its Siebel platform

IBM is planning to replace its Siebel based customer relationship management (CRM) products with software owned by open-source software-as-a-service (SaaS) vendor SugarCRM, according to The Wall Street Journal.

This is the second major contract loss for Siebel, as HP recently revealed that it too would be replacing the platform with products provided by SaaS vendor Salesforce.com.

However, the changes are unsurprising considering that Siebel was bought by Oracle, a major competitor to both IBM and HP, in 2005 for £3.5 billion.

"IBM was the world's largest deployment of Siebel applications, and we view this replacement as yet another indication of the pressure on Oracle's application business," said Pat Walravens at investment bank JMP Securities.

SugarCRM distributes its software through 400 resellers worldwide and generates revenue by offering services wrapped around the open-source code.

Nick Halsey, chief marketing officer and head of corporate development for SugarCRM declined to confirm or deny whether IBM was replacing its Siebel installations, but did say that the "open-source structure is highly disruptive".

IBM and SugarCRM had not responded to requests for comment at time of publication.

IDG UK Sites

Best camera phone of 2015: iPhone 6 Plus vs LG G4 vs Galaxy S6 vs One M9 vs Nexus 6

IDG UK Sites

In defence of BlackBerrys

IDG UK Sites

Why we should reserve judgement on Apple ditching Helvetica in OS X/iOS for the Apple Watch's San...

IDG UK Sites

Retina 3.3GHz iMac 27in preview: Apple cuts £400 of price of Retina iMac with new model