Oracle debuts Web-based marketplace for start-ups

SAN FRANCISCO: Business software giant Oracle Corp., on Tuesday launched a

Web-based initiative that is part business-to-business marketplace and part

online incubator for technology start-ups. The Oracle Venture Network aims to

place start-ups in touch with venture capital and provide professional services

to help ventures develop and promote Oracle technology, according to Jeremy

Burton, Oracle's senior vice president for worldwide marketing.

"We think that by making this investment and getting the word out, that

small businesses when making technology decisions in their formative stages will

take a look at Oracle because of the help Oracle has given," said Burton.

Venture Network will be funded by Oracle's $400 million annual worldwide

marketing budget. Unlike the company's Venture Fund, established with $500

million for strategic investments in start-ups developing technologies based on

Oracle products, the network unit will not make investments in companies that

use its services.

But Burton said the Venture Network unit, like the Oracle Venture Fund, is

looking to drive business to its parent company. "By and large, we've

always sold to big business," Burton told Reuters. "We're looking at

this as a way to drive our brand to small business."

US entrepreneurs will likely produce the most business plans for the Venture

Network portal, Burton said, but Oracle is rolling out local versions of the

program in a number of European countries, Brazil, China, Hong Kong, Taiwan and

the Philippines.

The portal has already signed up about 3,000 entrepreneurs and start-ups and

received about 1,800 business plans from a pilot program initiated last spring

in Europe, according to Wynn White, Oracle's senior director for product

development.

White told Reuters that Venture Network's pilot also signed 50 financial

institutions as members, along with 100 professional services companies. Asian

investors have been especially interested in how the Web portal aims to build a

community for entrepreneurs and funding sources, he said.

According to White, some of the most promising ideas receiving funding during

the Venture Network pilot project will be featured at Oracle's AppsWorld

trade-show in Paris next week.

(C) Reuters Limited 2001.