The most controversial news of the week went almost entirely unnoticed, covered under a plethora of COVID-19 articles: Donald Trump issued an order to block the sale of the cloud-based suite of hotel management solutions, StayNTouch, to Chinese Goliath, Shiji, on the ground of "national security."
According to the President, there would be "credible evidence [Shiji] might take action that threatens to impair the national security of the United States." Now, Trump IS a hotelier; that we know, so we may think he's still got an interest in hotel tech. Could be. Yet, something doesn't quite add up to me.
The Silicon Valley is known for its democratic sympathies, yet, what you may not know (but you should), is that Oracle's CTO and co-founder, Larry Ellison, is a fervent Trump supporter. Just last month, to name one, he hosted a Golf Outing and Reception fundraiser for the President, where guests (with tickets being sold at hundreds of thousands of dollars) could play golf and take a picture with the Nation leader.
Some of Oracle's employees even launched a petition (now closed, but still accessible here and signed by 9,576 people ) on the ground that the fundraiser represented a breach of corporate ethics.
Another fact you may not know (but you should, again) is that, on March 1, Oracle and Shiji ended an almost-20-year-long partnership: "Effective June 1, 2020, all sales of Oracle Hotel and Food & Beverage software, hardware and Cloud Services in China shall occur through one of our other authorized China resellers, Hangzhou GreenCloud Software Co Ltd ("GreenCloud") or Ai Wei Information Technology (Shanghai) Co. Ltd ("Hospitality and Retail Systems China")."
I may be paranoid, but the timing seems convenient, to say the least: with Shiji growing and expanding outside China at an extraordinary pace, the Chinese group is becoming a real menace to Oracle, already threatened by new, disruptive, cloud-native PMS, such as MEWS or Apaleo. Personally, I had my share of difficulties with Oracle when I published a long piece on the current state of PMSs and received some, well, let's say "mixed" feedbacks from the company.
A journalist I had the privilege to know and work with on a few occasions, Phil Butler, wrote a heated piece on the topic and, even though I tend to be more cautious than him, especially when it comes to commenting on intricate stories like this one, I cannot help but be, at least, intrigued by some of his speculations.
Property Technology