December 28, 2007 -- Oracle officially opened a Jinan location on December 14. The office is expected to inject fresh life into Shandong's technology industry.
The Jinan office will help Oracle localize its database software in eastern China, said Oracle spokesman Leilei Zhang.
"Choosing Jinan was inevitable and smart," Zhang told Emerging China. "Jinan is the province capital of Shandong, one of the biggest cultural and coastal economy provinces in east China."
Oracle will be better able to serve both government and business customers from the new location, he added.
"The combination between Jinan and Oracle will be win-to-win, as it also reflects Jinan governmental support as well as Oracle's promise and strategy concerning the future long-term commitment to the China market," Zhang said.
"Oracle will see big profits out of its investment in Jinan," Zhang predicted.
Oracle isn't alone in its interest in Jinan.
"The Qilu software Park in Jinan, has drawn huge investment from many oversea software firms," Dongmei Lv, sales manager of the Jinan office of Beijing-based technology reseller Digital China Ltd., told Emerging China.
One advantage that Shandong has over other provinces, he added, is not competition is not as intense as in Zhejiang, making it easier for technology firms to get a foothold.
Digital China only markets computer hardware in Jinan, while Oracle is a software company, so the two are not in direct competition, Lv said.
Meanwhile, other technology firms in the city – including the Digital China itself – will benefit from the fact that Oracle's presence will attract more technology talent to the area and help raise the ability levels of those employees.
His firm will gain, Zhang said, "due to the frequent job-hopping of IT talents."
"Jinan will become the platform for inland China's technical learning," said Daojin Wang, application development manager at Jinan-based Asiait Software Co., Ltd.
According to Wang, there are few database companies in Jinan today, especially those which can offer products to the range of businesses that Oracle serves, and at the high price point that Oracle occupies.
Oracle will encourage and push both Shandong and inland China's information software industry development, Wang told Emerging China.