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Oracle pulls Exadata ad claims after IBMโ€™s complaint

BOSTON โ€” Oracle is yanking advertising claims that its Exadata database machine had vastly super performance to IBMโ€™s Power Systems hardware, according to an announcement Tuesday by the National Advertising Division, an industry self-regulatory group.

IBM had challenged Oracleโ€™s claims, which were made in a Wall Street Journal advertisement. The ads stated, โ€œExadata 20x Faster โ€ฆ Replaces IBM Againโ€ as well as โ€œGiant European Retailer Moves Databases from IBM Power to Exadata โ€ฆ Runs 20 Times Faster,โ€ according to the NAD.

Oracleโ€™s claim of running 20 times faster than Power Systems was overly broad, inferring that Exadata had bested all Power Systems products, IBM had argued in its appeal to the NAD.

However, Oracle characterized its ad as a case study describing the experience of a single customer, and argued the โ€œsophisticated target audienceโ€ would glean that nuance, the NAD said.

The NAD ultimately sided with IBM, finding that โ€œat least one reasonable interpretation of the challenged advertisement is that all โ€” or a vast majority โ€” of Exadata systems consistently perform 20 times faster in all or many respects than all โ€” or a vast majority โ€” of IBM Power systems,โ€ it said in a statement. โ€œThe message was not supported by the evidence in the record.โ€

While Oracle agreed to stop running the ad, it also plans to appeal NADโ€™s decision, which it called โ€œunduly broad,โ€ according to the announcement.

An Oracle spokeswoman didnโ€™t immediately respond to a request for comment.

IBM is pleased by the NADโ€™s decision, IBM spokesman Jeff Cross said in an interview. โ€œThis was hardly an apples-to-apples comparison,โ€ he added. โ€œThis was an apples-to-oranges comparison. They compared a new Exadata to a six-year-old Power System.โ€

Exadata, first introduced in 2008, combines Oracle software with servers and Infiniband networking.

The Exadata system also was running Oracleโ€™s 11g database whereas the customer was using an earlier version, 10g, on the Power Systems hardware, according to Cross.

One observer took a measured view of Oracle and IBMโ€™s spat.

โ€œEverybodyโ€™s guilty of that kind of exaggeration,โ€ said database industry analyst Curt Monash of Monash Research. โ€œOracle tends to be even a little guiltier than others.โ€

โ€œIf your new system canโ€™t outperform somebody elseโ€™s old system by a huge factor on at least some queries, youโ€™re doing something wrong,โ€ he added. โ€œUse newer, better hardware; use newer, better software; have a top sales engineer do a great job of tuning it and of course youโ€™ll see huge performance results.โ€

This is the second ruling by the NAD in favor of IBM over Oracle in recent months. In April, the group recommended that Oracle pull ads containing pricing and performance claims that compared its Oracle SPARC SuperCluster T4-4 computer system to a competing IBM platform.

Oracle disagreed with some of the NADโ€™s conclusions but dropped the ad, according to the group.


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