For one longtime PeopleSoft customer, last year's Oracle takeover came at an awkward time: The Center for Remote Enterprise Systems Hosting in Sioux Falls, S.D., was in the process of spinning out from Dakota State University, and was about to sign the first commercial contract for its hosted PeopleSoft applications services.

Suddenly, the fate of the software line CRESH had built its entire business around was in doubt. CRESH Executive Director John Webster wondered if Oracle would live up to the support promises it made during its 18-month fight to buy PeopleSoft.

Eight months later, Webster says the transition to Oracle has gone relatively smoothly. The big test will come over the next few years, as Oracle attempts to mesh its profusion of heterogeneous applications into one unified line, code-named Fusion. Still, the early indications are that Oracle will be sensitive to PeopleSoft customer's needs, according to Webster.

"The integration has been better than anything I heard," he says.

Oracle is still selling the PeopleSoft licenses CRESH needs, and executives all the way up to Oracle's top management echelon have responded to customers' questions and concerns. Oracle has helped CRESH connect with those in charge of areas that touch CRESH's business, including executives in its small and midsize business, On-Demand hosting and public sector units.

Webster says he hasn't been pushed to switch his company's focus from PeopleSoft applications to Oracle's E-Business Suite. Meanwhile, Oracle's takeover doesn't seem to have affected the willingness of CRESH's customers to commit to PeopleSoft: Clients say that as long as whatever is on the front end works, what's happening behind the scenes is irrelevant, Webster says.

Nonetheless, PeopleSoft's new ownership has prompted some changes in CRESH's operations. The company is migrating its database back end from SQL to Oracle. While PeopleSoft had strong technical ties with SQL, supporting its own database will be Oracle's priority. Oracle is offering incentives to make switching a financially attractive option for CRESH.

Webster also is preparing to shift from a Microsoft-based to a Linux-based infrastructure, likely supported by Red Hat. He expects that change to better position CRESH for the coming Fusion migration, and to align it with general IT industry trends toward more open systems.

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