James Governor's Monkchips

Are startups ignoring DB2, Oracle in favor of MySQL, MS SQLServer?

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Here are some intriguing numbers about developer intentions:

Database usage – SQLServer 64% versus MySQL 36%, interestingly, no Oracle or DB2. Start-ups are more cost sensitive than larger enterprises so it is not too surprising that there were no Oracle or DB2 users.

Development Tools – 28% Microsoft.Net, 22% Java, 13% C/C++, 37% Other

I was not at the Insight Venture Partners event that came up with the numbers above, and bear in mind they were reported by Don Dodge, a Microsoft employee, but I am still interested in what they might mean.
 
I am very surprised there was no Derby, Postgres, or Sleepycat or any other databases targeted by the developers polled, the 64/36 split is too convenient. Of course, it might have been a self-selecting audience: perhaps Insight only invited MySQL or MS SQLServer devs… maybe there were only ten people there? But there were apparently some Java developers in the house.
 
Perhaps the numbers tell us more about VC firms and the ideas they are currently pushing.
 
From 1995 to 2000 venture capital firms effectively acted as Oracle, EMC and Cisco resellers. Pretty much every dotcom funded would get cash to pay for infrastructure from these vendors, for advertising, and for salaries. The VCs, rather than the startup, chose the infrastructure. This is like lines of business choosing infrastructure… not always a great idea. It was nice for the vendors in question though, obviously.
 
Fast forward to 2006. Open source and software as a service are the order of the day. On an anectodal basis I would say when me or Stephen have talked to startups recently DB2 and Oracle aren’t exactly top of mind. I am sure IBM and Oracle can come up with all kinds of evidence to show they are the hot target for startups in 2006. Feel free to post it here.
 
 

4 comments

  1. I was just thinking about the Sun / Oracle deal (obviously from the Sun side) but, truth is that this deal is also the prove that Oracle is trying to address this exact point. I’m not saying that Oracle will solve this issue this year but, IMO, taking advantage of Sun’s X64 offer is a first step, Offering bundles that cut deployment times and complexity, also seems targeted at this SMB market.
    Yes, I think Oracle is targetting hard the SMB market but, it’s effects will only be felt some time from now.

  2. I only see MySQL – it’s all about the ‘let’s do what we can at lowest cost’ but then my segment is under pressure.

  3. i’m very surprised by that. granted both SQL Server and MySQL are quite popular, but that seems as you point out to be slightly too convenient for me to believe.

    be interesting to observe whether Postgres makes any gains given some of the #’s that are coming out or with Sun ramping up support.

    lastly, great point on the VC as reseller point. i’d throw BEA and Sun into that mix as well.

  4. Both Microsoft and Oracle offer free (albeit limited) versions of their database systems right now, and IBM may soon follow suit as well with DB2 (if you believe a heavily quoted IBMer from Singapore).

    Because of this, I think we’ll soon reach a point where startups choose a DBMS not by its cost, but by the level of confidence and familiarity that the IT department has with it. When the first hit of any database is suddently free, it would seem hard to believe that the team in charge of building the data shop would pick any DBMS other than the one they were the most familiar with.

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