After attending the Innovation Summit 2014 at Infor's New York headquarters last week, Cowen and Company analysts Peter Goldmacher and Joe del Callar issued an Industry Update titled 'Infor: An Emerging Threat to Legacy Financial And Manufacturing Apps.'
Here are excerpts:
- 'Privately held Infor is growing product sales faster than Oracle and SAP. While the company is a distant third in the ERP space with $3B+ in revenues, it is an underappreciated competitor in the ERP landscape and an increasingly viable alternative for disgruntled ORCL/SAP Financials and Manufacturing customers.'
- 'Infor is working under cover of darkness to integrate its 60+ acquisitions (incl Baan/Lawson/SSA Global etc), rewrite the User Interface to bring the Consumer experience to the Enterprise, and reorient its product with deep vertical functionality. These efforts are complemented by a new back end rewritten in contemporary technologies that offers customers lower TCO.'
- 'For Infor's growth businesses, which is about half of total product, the growth rate is closer to 20%+, meaning that over time, we expect Infor to move up market with its newer solutions and pose a bigger threat to ORCL and SAP.'
- 'More than just swiping and touching, the new Infor UX has a very modern look & feel and is able to learn user behavior and dynamically change the front end to accommodate specific users.'
- 'We believe Infor is the most viable alternative to Oracle and SAP customers looking to upgrade legacy Financials and Manufacturing deployments and we expect momentum in the growth businesses to continue.'
by Peter Goldmacher, April 16, 2014, Cowen and Company, LLC