Microsoft tries to lure NetSuite users with new deal

US customers can get up to an $850 credit for each user who switches to Dynamics

Microsoft is offering financial enticements to customers of on-demand ERP (enterprise resource planning) vendor NetSuite to switch over to Microsoft's Dynamics family of business applications.

NetSuite customers will be credited up to US$850 for each user who converts to Dynamics GP, NAV or SL. The promotion is in effect until June 25 and available to customers in the U.S.

Microsoft's announcement has a ring of familiarity, as NetSuite itself has made a string of similar marketing efforts in the past against other vendors.

No single ERP deployment method, whether on-demand or on-premises, will be appropriate for every business, Microsoft said in a statement. Microsoft offers Dynamics as an on-premises application or it can be hosted through partners, but it has not moved to the multi-tenant SaaS (software as a service) model used by NetSuite.

With multi-tenancy, many customers share the same instance of an application, with their data kept private from other customers. The model saves computing resources and makes version or feature upgrades easier, since all customers can be served at once.

Microsoft's ERP strategy also includes a series of on-demand extensions for Dynamics.

NetSuite didn't immediately respond to a request for comment Thursday.

Microsoft's announcement raises questions, such as how SaaS vendors like NetSuite can counter vendors who can provide a range of deployment models, said 451 Group analyst China Martens via e-mail. "Will the SaaS pure-plays end up turning to partners to turn their SaaS into on-premises apps as well?"

Meanwhile, the fact Microsoft has singled out NetSuite as a rival should be music to NetSuite's ears, Martens said. "It's more validation for NetSuite."

Indeed, the announcement was met with welcoming words from NetSuite CEO Zach Nelson.

"It's only gong to make our installed base bigger," Nelson said in an interview. "At the end of the day Microsoft just said, 'Here's the competitive offering you should look at.' I want to thank Microsoft for all the extra marketing they gave us today."

But Nelson also decried the migration offer.

"It's kind of the last gasp of a dinosaur," made in support of "Stone Age software," he said.

Join the newsletter!

Error: Please check your email address.
Rocket to Success - Your 10 Tips for Smarter ERP System Selection

Tags netsuiteSaaSMicrosoftERPcrm

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Chris Kanaracus

IDG News Service
Show Comments

Cool Tech

Breitling Superocean Heritage Chronographe 44

Learn more >

SanDisk MicroSDXC™ for Nintendo® Switch™

Learn more >

Toys for Boys

Family Friendly

Panasonic 4K UHD Blu-Ray Player and Full HD Recorder with Netflix - UBT1GL-K

Learn more >

Stocking Stuffer

Razer DeathAdder Expert Ergonomic Gaming Mouse

Learn more >

Christmas Gift Guide

Click for more ›

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Ben Ramsden

Sharp PN-40TC1 Huddle Board

Brainstorming, innovation, problem solving, and negotiation have all become much more productive and valuable if people can easily collaborate in real time with minimal friction.

Sarah Ieroianni

Brother QL-820NWB Professional Label Printer

The print quality also does not disappoint, it’s clear, bold, doesn’t smudge and the text is perfectly sized.

Ratchada Dunn

Sharp PN-40TC1 Huddle Board

The Huddle Board’s built in program; Sharp Touch Viewing software allows us to easily manipulate and edit our documents (jpegs and PDFs) all at the same time on the dashboard.

George Khoury

Sharp PN-40TC1 Huddle Board

The biggest perks for me would be that it comes with easy to use and comprehensive programs that make the collaboration process a whole lot more intuitive and organic

David Coyle

Brother PocketJet PJ-773 A4 Portable Thermal Printer

I rate the printer as a 5 out of 5 stars as it has been able to fit seamlessly into my busy and mobile lifestyle.

Kurt Hegetschweiler

Brother PocketJet PJ-773 A4 Portable Thermal Printer

It’s perfect for mobile workers. Just take it out — it’s small enough to sit anywhere — turn it on, load a sheet of paper, and start printing.

Featured Content

Product Launch Showcase

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?