However, Eckerson also noted that Hyperion's planning, budgeting and consolidation software fill a big gap in Oracle's business applications strategy. Adding the Hyperion products to the Oracle line would also give the vendor "a huge presence in the chief financial officer's office," helping it better compete against SAP, he said.

Cindi Howson, author of the independent BIScorecard.com report, which evaluates BI tools, noted that Oracle took several years to leverage the Express Online Analytical Processing (OLAP) engine it gained with the purchase of ORI Software in 1995. "I hate to think Essbase (Hyperion's OLAP engine) may fall to the same fate," she added.

However, she noted that the move is a smart one for Oracle, considering the convergence of BI and performance management and Microsoft's maneuvering to release a competing set of products. In addition, the Hyperion products coupled with the analytic tools acquired from Siebel will give Oracle a "powerful portfolio of products," Howson said.

Mark Monn, director of performance management and research at Hyperion user Family Services of Metro Orlando, expects that the deal will prove positive for his organization.

"For us it would be a benefit, as we have a good relationship with Oracle and our primary database is [Oracle] 10g," Monn said. "It will hopefully allow us to leverage both products better as I hope they will integrate the best of Oracle and Oracle's BI with Hyperion."