Guy’s having some fun at Vignette’s expense of course, but it’s no secret Vignette has had a lot of executive turnover over the last couple of years and it hasn’t stopped. Execs on last year’s analyst day agenda gone this year include Cathie Frazzini, who led Vignette’s partner efforts for a little more than a year and long-time head of products Leo Brunnick. Dave Dutch, most recently of Level 3 Communications, has just replaced Brunnick to run product management and marketing. And Rob Amor, long-time head of Vignette’s EMEA services org, has taken on the corporate BD role from the UK.

Like Guy, this wasn’t my first Vignette analyst day and he’s also right in noting “Vignette’s Analyst Day is typically heavy with customer testimonials.” And this year was no exception. Four of the six customers that presented (including HBS and Vertrue) were fairly new to Vignette, interesting since Vignette has struggled with new license revenue in recent quarters.

Overall Vignette presented a more upbeat outlook than one might expect given the company’s recent financial results. The company has introduced several new products already this year (yes, some are OEMs and some are just enhancements, but it’s still better than what we’ve seen from Vignette in awhile) and has a few more planned before year end. It also acquired video management play Vidavee, which it claims will be integrated before the end of this quarter.

It will likely be a couple more quarters before Vignette’s largely-revamped field organization can make some hay with these new products. If it’s able to do so, the license numbers might start to turn around. We’ll certainly be watching to see.

The new sales force will swing into action at the beginning of Oracle’s next financial year in June and will be tasked with turning customer interest in, and understanding of, the potential benefits of collaboration into working projects.

Duplicated across Oracle’s regions and reporting to the regional head, the Enterprise 2.0 sales team lead with the WebCenter platform for composite applications, as well as more traditional software products such as Oracle Portal and what was formerly Stellent content management software. Oracle’s Beehive next-generation collaboration platform will also be in the mix, although Charles was less forthcoming about the details of the new enterprise collaboration product.

What he did say is that the Enterprise 2.0 sales force will be made up of both BEA and Oracle sales and consulting experts and will make use of the Oracle Insight Program consulting service to analyze customers’ business processes to identify opportunities for the deployment of internal and external collaborative applications \.

The sales force will engage with both business and IT managers and will have an eye on enabling enterprise-wide strategic adoption of collaborative software, although most of the obvious opportunities are likely to be departmental or focused on specific applications - such as CRM and SCM.

Charles Phillips noted that there is customer interest in Enterprise 2.0, but that a lot of education is still required to turn that into deployments. He said the question he asked customers is “are there groups of people you’d like to collaborate with more easily?”

Given that most companies are interested in the views of their customers and uncovering unfulfilled demand, the answer to that is invariably “yes”, but then the conversation has to move on to identifying business processes that can make use of collaborative technologies and examining use cases. That will be the role of the new sales force.

With customer deployments thin on the ground Charles also shared some details of how Oracle is making use of collaborative technologies. The company is currently working on a new collaborative environment for training partners on its product stack, for example, in recognition that given Oracle’s rapid rate of acquisitions it is difficult and expensive for partners to keep up to date - and difficult and expensive for Oracle to keep its partners up to date.

On the developer side there’s Oracle Mix, which sees the company extending its collaboration with the developer and user communities beyond its user trade shows, and providing an environment where it can quickly respond to customer feedback. Oracle is also using collaborative technologies within its internal developer and sales organizations to make it easier for employees to identify experts and expertise with the organization.

Kathleen recently noted that social enterprise or Enterprise 2.0 software is not a market in and of itself and that the market for internal applications is likely to be dominated by IBM and Microsoft given their dominance in traditional collaboration software. If Oracle is to crack this market, it probably does need to be more proactive about taking the Enterprise 2.0 message to existing and potential customers.

If we assume that Enterprise 2.0 is not a market, then a dedicated Enterprise 2.0 sales force is probably not a long-term strategy. In terms of identifying new collaborative application opportunities the market and pointing customers in the right direction, it does make sense, however.

What did come across in the conversation is that this is designed to be a practical and pragmatic approach that will hand-hold customers into Enterprise 2.0 adoption, rather than just slapping some 2.0 t-shirts on the sales team and sending them off on the back of the bandwagon.

There were plenty of partnerships between search and content management vendors around, but they seemed to us to be either at the press release level, i.e. little more than marketing, or to be as a result of a small handful of one-off projects in the field.

But it turns out others within the industry were thinking about much deeper integrations even if they weren’t saying so publicly.

About a year after Stellent and FAST (both then independent, of course) announced a partnership that resulted in Stellent OEMing FAST’s engine, FAST seriously considered buying Stellent.

I’ve heard from a couple of reliable sources that this was discussed at the highest level within FAST, but it chose not to pursue the deal and instead decided to veer way off its core business and ending up distracting itself to such an extent it got itself tied up in knots. This ended with it being forced to incur about $55m in charges in 2007 that resulted in its share rice plummeting and thus ending up costing Microsoft a lot less than it would have done.

Incidentally, one of those sidebars - Ezmo - a music community site (presented to analysts in February 2007 as a “customer” of FAST, when in fact the phrase that should’ve been used was”‘wholly-owned subsidiary”) was shut down in March.

Of course Stellent went on to be acquired by Oracle in 2007 and we’ve been impressed by the way the database giant has integrated the company so far.

But FAST and Stellent could have made for an interesting combination of the ability to manage and analyze unstructured content, and who knows, FAST-Stellent might’ve been a force to be reckoned with? Now we look to see what Microsoft - something of a toe-dipper when it comes to content management and Oracle, armed with a pretty decent search engine do to prolong this meme.

That’s quite a list and it’s only a list of who we’ve spoken with recently, not of all the vendors in this market and it doesn’t happen to include any of the larger players like IBM, Microsoft and Oracle.

So you have to ask, where is the differentiation? I don’t think that’s clear yet. Vendors are coming at this market from a particular area — like forums software or wikis — and tend to be targeting a particular types of implementations (BtoC social media vs. BtoE collaboration) so theoretically competitive products can be quite different under the covers (though often quite similar in marketing).

One thing that seems clear is that many vendors already in the social software realm are busy getting more social. By this I mean grafting on “social” aspects a la Facebook. This can be the ability to have user profiles and the ability to friend people or more sophisticated analysis of who knows what in order to connect users with similar knowledge or expertise.

Just a few recent examples:

Jive Software’s 2.0 release beefs up profiling and social networking capabilties.

The 3.0 release from Socialtext does the same.

Telligent added the ability to track activity data by user in Community Server 2008.

Wetpaint also added more social aspects recently.

Leverage Software has some interesting visualization technology applied to social networks.

Ringside wants to link public networks to business networks.

As vendors originally strong in wikis or forums software, for example, expand social networking and add other features, they’re much more in competition with each other than they once were. And organizations are likely to want to standardize to avoid profile proliferation, if nothing else.

I was talking with someone this morning about how many log-ins one large broadcaster has for its various customer/consumer communities (wikis, message boards etc.) and how it’s a high priority item for that company to fix it. That’s something we’ll no doubt hear more about as more and more products go social.

The statement goes on to say that “The approach has been received from a UK company that does not compete directly with Mediasurface and the Directors expect that regardless of the outcome of these discussions, the services that Mediasurface provides to existing and future customers will be unaffected.”

What UK company that does not compete directly with Mediasurface might be interested in acquiring it? SDL already took Tridion, a decision it is no doubt happy with given Tridion’s 2007 financial results. Autonomy is the only other company that comes to mind, as a substantial UK-based player in the information management realm, without WCM we might add. WCM doesn’t seem a logical fit for Autonomy’s current portfolio though, which has certainly grown with its 2007 acquisitions of Zantaz and Meridio. These are pretty clear cut compliance / e-discovery related buys without explicit ties to WCM.

So maybe it is an SI or design agency looking to own the delivery technology itself. Mediasurface has checked boxes at the low, mid-market, and high end in WCM, in part by acquiring fellow UK-based WCM play Immediacy in June of last year and Silverbullet out of Holland back in 2005.

Mediasurface may not be the most attractive candidate at the moment, as it had a difficult fiscal 2007 reporting an EBITDA loss of £1.3m on revenues of £11.6m. Losses were blamed on the low-end Pepperio service and market difficulty for the high-end product Morello in the financial services industry and in accounts using Microsoft SharePoint. The company’s stock tumbled on that news to 4p per share, but has been up in April based on acquisition rumors.

Growth in WCM remains strong overall though (451 clients can read analysis of sector growth rates across vendors here) and there are still too many independent players with revenues in the $20m-ish range. More consolidation certainly seems likely.

GroupSwim isn’t selling content management software in the classic sense. It’s SaaS offering is for collaboration, either for internal teams or externally-facing communities. It actually reminds me most of Koral, which Salesforce.com acquired a year ago and has since become Salesforce Content.

There’s a bit more meat to what GroupSwim offers though as it uses natural language processing to recommend tags, auto tag content added to this system and recommend related content. We spoke to an early GroupSwim customer yesterday who just raved about the system’s ability to auto-categorize emails and other docs, making it easier to get content into the system in an organized way and to find content on particular topic or customer account (this customer is using the service as a collab tool for sales and marketing).

Applying this sort of text analysis in a group collaboration / social software tool isn’t something I’ve heard much about lately. It will be this sort of thing that will differentiate vendors from the increasingly large pack moving forward. GroupSwim is still tiny and with its service not generally available until this past December, it’s perhaps a little late to this party. It will need to ramp up its own sales and marketing efforts significantly — 451 group clients can expect a full write up on GroupSwim in the coming days.

I think there are a couple of ways to look at this. Yes, on the public web, the “2.0″ changes are pronounced due to the masses that can participate. Facebook, Flickr, LinkedIn and even Google don’t make much sense without the explicit and implicit contributions of users and this has been a fundamental shift from Web 1.0. Everyone agrees on that point, I think.

But that doesn’t mean social technologies don’t have a role to play in enterprise apps as well. Is Enterprise 2.0 a market? Not really. That doesn’t mean I don’t use the phrase ’social software market.’ But it’s a bit of a catch-all. There are business problems, processes, applications that can and will become more social, the way these apps look, feel and work is evolving. And there are new and old vendors that are enabling that change.

I think where this will the biggest impact in the enterprise is in outwardly facing initiatives - web sites that become more two-way, user communities, more self-service and open product development processes. This is the biggest fundamental shift from the way these sites, processes, apps worked in the past. And that’s probably why this part of the market is mostly populated by start-ups and smaller companies at the moment.

Inside-the-firewall social software is simply an evolution of existing collaboration technologies - some of the social software suites on the market really aren’t hugely different from team collaboration products from a decade ago. Yes, there are different features, yes there is open tagging as opposed to structured taxonomies, yes there is blogging and so forth. But in the grand scheme of things, new features don’t equal a revolution — or a market.

This explains why the vendors that are likely to equip the most enterprises with inside-the-firewall social software are the same vendors that have been selling collaboration software for ages: Microsoft and IBM. As SharePoint gets better social networking, improved wikis and blogs, and perhaps, if we’re lucky, improved RSS support in the next release, it will become the de facto “enterprise social software” tool for all those many organizations using SharePoint. IBM will stay in the fight with Lotus Connections and Lotus Quickr, though it will likely be hard to stop the SharePoint juggernaut.

Interwoven and Vignette both released Q1 numbers in the last two days and their numbers highlight the different paths these long-time competitors are now on.

Vignette announced disappointing results. Vignette’s total revenue for the quarter was $44.8 million, a 6% decrease from Q1 2007, with a net loss of $0.8 million, compared with a $4.8m profit a year ago. Particularly disappointing for Vignette was license revenue which declined 36% to $9.7m. Vignette warned three weeks its results would be weaker than expected so the news wasn’t a surprise but the mood of the call was still somber.

Interwoven, on the other hand, announced a 17% increase in revenue to $61.5m with a 12% increase in license revenue and net income of $6.1m. Interwoven has always been a fairly conservative company but even so, one of the execs on the call said something along the lines of “we’re not claiming our earnings are recession proof but…” They were downright cheerful — and with good reason.

For example, Infovark has an interesting post about emergent systems and as I was looking specifically at their table, it struck me how much their definition of “explicit” (rules-based, top down, centralized, push) defines what most WCM vendors are trying to do today with targeted content delivery. But “emergent” technologies are the opposite (outcome-based, bottom up, decentralized, pull).

In short, it’s the difference between content targeting and user-generated content. There seems to me to be a real gap between those vendors doing the former and those supporting the latter.

We’ve been spending a lot of time with vendors in the customer community realm of late, while still keeping a close eye on WCM marketplace. The relationship between these two seems quite obvious to me, though we’re only starting to see bits of it in the market. There is some partnering going on and at least one OEM I know of though have been asked not to publicize yet. I suspect we’ll see more of this in the coming months.

Microsoft and Fast Search & Transfer (FAST) will consummate (their words, not mine) the acquisition on Thursday (April 24) now that the conditions of the acquisition have been met, according to this. FAST has had the requisite number of shares tendered since February. The time since then has been spent clearing the regulatory hurdles.

I’d grown quite attached to those Oslo Stock Exchange announcements as they provided FAST-watchers like me with a a running commentary on FAST’s progress, listing each major customer win as they happened, along with a whole lot of other stuff, including last year’s major stumble.

The new chapter of Microsoft’s enterprise search business starts this week, which is good timing for us, as I’m speaking with them next week.