Oracle 2008 Annual Report Download - page 14

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Table of Contents
over the internet our database, middleware and applications software delivered at our data center facilities,
select partner data centers or physically on-site at customer facilities. Advanced Customer Services consists
of solution lifecycle management services, database and application management services, industry-specific
solution support centers, and remote and on-site expert services. On Demand revenues represented 3% of total
revenues in fiscal 2009, 2008 and 2007.
Education
We provide training to customers, partners and employees as a part of our mission of accelerating the
adoption of our technology around the world. We currently offer thousands of courses covering all of our
product offerings. Our training is provided primarily through public and private instructor-led classroom
events, but is also made available through a variety of online courses and self paced media training on
CD-ROMs. Most recently, Oracle University launched live virtual class offerings that allow students
anywhere in the world to connect to a live instructor-led class. In addition, we also offer a certification
program certifying database administrators, developers and implementers. Oracle University also offers user
adoption services designed to provide comprehensive training services to help customers get the most out of
their investment in Oracle. Education revenues represented 2% of total revenues in fiscal 2009, 2008 and
2007.
Marketing and Sales
Sales Distribution Channels
We directly market and sell our products and services primarily through our subsidiary sales and service
organizations. In the United States, our sales and service employees are based in our headquarters and in field
offices throughout the country. Outside the United States, our international subsidiaries license and support
our products in their local countries as well as within other foreign countries where we do not operate through
a direct sales subsidiary.
We also market our products worldwide through indirect channels. The companies that comprise our indirect
channel network are members of the Oracle PartnerNetwork. The Oracle PartnerNetwork is a global program
that manages our business relationships with a large, broad-based network of companies, including
independent software vendors, system integrators and resellers who deliver innovative solutions and services
based upon our products. By offering our partners access to our premier products, educational information,
technical services, marketing and sales support, the Oracle PartnerNetwork program extends our market reach
by providing our partners with the resources they need to be successful in delivering solutions to customers
globally.
International Markets
We sell our products and provide services globally. Our geographic coverage allows us to draw on business
and technical expertise from a global workforce, provides stability to our operations and revenue streams to
offset geography-specific economic trends and offers us an opportunity to take advantage of new markets for
our products. A summary of our domestic and international revenues and long-lived assets is set forth in
Note 15 of Notes to Consolidated Financial Statements.
Seasonality and Cyclicality
Our quarterly results reflect distinct seasonality in the sale of our products and services. Our revenues and
operating margins are typically highest in our fourth fiscal quarter and lowest in our first fiscal quarter.
General economic conditions also have an impact on our business and financial results. The markets in which
we sell our products and services have, at times, experienced weak economic conditions that have negatively
affected our revenues. See “Selected Quarterly Financial Data” in Item 7 of this Annual Report for a more
complete description of the seasonality and cyclicality of our revenues, expenses and margins.
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Source: ORACLE CORP, 10-K, June 29, 2009 Powered by Morningstar® Document Research℠