NetSuite
NetSuite is a cloud-based business management software suite that integrates enterprise resource planning (ERP), customer relationship management (CRM), ecommerce, financial management, and supply chain applications into a single, scalable platform, enabling organizations to streamline operations and gain real-time visibility into their business data.[1] Developed using a software-as-a-service (SaaS) model, it operates on a multi-tenant architecture accessible via web browsers on any device, with automatic biannual updates managed by its parent company, Oracle.[1] Founded in 1998 as NetLedger by Evan Goldberg and Larry Ellison, the company rebranded to NetSuite in 2003, went public in 2007 raising $160 million through an initial public offering, and was acquired by Oracle Corporation in 2016 for $9.3 billion, marking a pivotal milestone in its evolution as the world's first cloud company.[2][1] Today, NetSuite supports over 43,000 customers globally across industries such as retail, manufacturing, and professional services, offering native integrations, customizable modules via its SuiteCloud platform, and compliance with over 190 currencies, 27 languages, and tax regulations in more than 100 countries.[2][1] Key features include unified data access for enhanced analytics, inventory and order management, and human resources tools, all designed to reduce IT costs, improve efficiency, and facilitate growth from startups to large enterprises without the need for on-premises infrastructure.[1] Its emphasis on embedded artificial intelligence and business intelligence tools further empowers users with predictive insights and automated processes, positioning NetSuite as a comprehensive solution for modern digital transformation.[2]Company Background
Founding and Leadership
NetSuite was founded in 1998 by Evan Goldberg, who envisioned delivering the first cloud-based business management software suite.[3] Prior to launching the company, Goldberg had spent eight years at Oracle Corporation as a vice president, where he focused on developing accessible database technology, and he holds a B.A. summa cum laude in applied mathematics from Harvard College.[3] The venture received seed funding from Larry Ellison, Oracle's founder and then-CEO, who provided approximately $125 million through his investment firm Tako Partners, enabling the initial development of web-hosted accounting software under the original name NetLedger.[4][5] Goldberg's leadership shaped NetSuite's early growth, serving as its chief technology officer and chairman of the board, guiding the company through its rebranding to NetSuite in 2003 and expansion into a comprehensive ERP platform.[6] Ellison's involvement extended beyond funding, offering strategic mentorship during economic downturns like the dot-com bust, which helped sustain operations.[7] Under Goldberg's direction, NetSuite pioneered cloud computing for enterprise applications, growing from a small team in a modest office to serving thousands of customers globally before its public offering in 2007.[6] Following Oracle's $9.3 billion acquisition of NetSuite in 2016, leadership integrated into Oracle's structure while retaining autonomy for the NetSuite Global Business Unit.[6] Goldberg continues as executive vice president of the unit, overseeing product strategy, development, and delivery of NetSuite's cloud ERP, CRM, and e-commerce solutions to over 43,000 customers across 219 countries.[6] The unit's executive team includes key figures such as Gary Wiessinger, senior vice president of product engineering, who manages global application strategy and design with over 25 years in software, and David Rodman, senior vice president of customer success, focused on optimizing client outcomes.[8][9] This structure emphasizes innovation and customer-centric growth under Oracle's broader ecosystem.[3]Headquarters and Global Presence
NetSuite's corporate headquarters is located at 2300 Oracle Way, Austin, Texas 78741, United States, where it shares facilities with Oracle Corporation following the 2016 acquisition.[10] This relocation aligned with Oracle's broader move of its world headquarters from Redwood City, California, to Austin in 2020, enhancing operational synergies for NetSuite's cloud-based enterprise resource planning (ERP) solutions.[11] The Austin campus serves as the central hub for executive leadership, product development, and global support functions.[12] NetSuite maintains a robust international presence to support its multinational customer base, with offices spanning more than 30 countries across North America, Europe, Asia-Pacific, Latin America, and the Middle East.[10] In North America, beyond the headquarters, key U.S. locations include Boston, Massachusetts; Chicago, Illinois; New York, New York; and Redwood Shores, California, while Canadian operations are centered in Toronto, Ontario, and Waterloo-Kitchener.[10] The Asia-Pacific region features prominent offices in Sydney, Brisbane, and Melbourne, Australia; multiple sites in China such as Beijing, Shanghai, and Shenzhen; and hubs in Singapore, Japan (Tokyo), and India (Hyderabad).[10] In Europe, NetSuite operates from cities like London and Manchester in the United Kingdom; Frankfurt and Munich in Germany; Paris in France; and Amsterdam in the Netherlands, facilitating localized sales, implementation, and support services.[10] Latin American presence includes offices in São Paulo, Brazil; Bogotá, Colombia; and Mexico City, Mexico, with additional support in Uruguay.[10] In the Middle East and Africa, locations such as Dubai in the United Arab Emirates and Riyadh in Saudi Arabia enable tailored solutions for regional enterprises.[10] This distributed network, comprising over 45 offices worldwide, allows NetSuite to deliver 24/7 customer support and comply with diverse regulatory environments.[13]Historical Development
Early Years and Rebranding
NetLedger, Inc., the predecessor to NetSuite, was founded in 1998 by Evan Goldberg, a former Oracle executive, along with three colleagues from the company.[14] The venture was seeded with significant funding from Larry Ellison, Oracle's chairman, who invested through his firm Tako Partners following a brief phone conversation with Goldberg about delivering accounting software via the internet.[7] This marked NetLedger as one of the earliest entrants in cloud-based business software, predating the founding and launch of Salesforce and positioning it as a pioneer in software-as-a-service (SaaS) delivery.[2] Initially focused on web-hosted financial management for small businesses, NetLedger launched its first product—a browser-based accounting suite—in 1999, aimed at competing with desktop solutions like Intuit's QuickBooks.[7] The platform eliminated the need for on-premise installations, allowing users to access bookkeeping tools remotely, which quickly attracted early adopters despite technical hurdles in cloud delivery and upgrades.[7] By the early 2000s, the company had expanded its offerings to include customer relationship management (CRM) and e-commerce features, establishing itself as a leading application service provider for mid-sized enterprises.[15] In September 2003, under the leadership of CEO Zach Nelson, NetLedger rebranded to NetSuite, Inc., to better align with its flagship integrated ERP/CRM/e-commerce application, which had been introduced the previous year.[14] The name change reflected the company's evolution from a narrow accounting focus to comprehensive end-to-end business process automation, driving a five-fold revenue increase in the prior year and solidifying its market position.[14] This rebranding emphasized NetSuite's role in providing scalable, cloud-native solutions for growing businesses, setting the stage for further innovation in the SaaS landscape.[2]IPO and Pre-Acquisition Growth
NetSuite went public on December 20, 2007, listing on the New York Stock Exchange under the ticker symbol "N". The company offered 6.2 million shares at $26 each, raising approximately $161 million in gross proceeds before underwriting discounts.[16] The IPO was notable for its strong debut, with shares closing 36% higher at $35.35 on the first trading day, reflecting investor enthusiasm for NetSuite's cloud-based business management software amid the growing SaaS market.[17] Larry Ellison, Oracle's CEO and a major stakeholder, retained significant control, owning about 42% of the company post-IPO, which influenced strategic decisions during this period.[18] Following the IPO, NetSuite experienced sustained revenue growth, driven by increasing adoption of its integrated ERP, CRM, and e-commerce platform by mid-sized enterprises. Annual revenue rose from $108.5 million in 2007 to $152.5 million in 2008, marking a 40.5% year-over-year increase, before moderating to 9% growth in 2009 amid the global financial crisis, reaching $166.5 million.[19][20][21] By 2010, revenue had climbed to $193.1 million, accelerating to $236.3 million in 2011 (22% growth) and $308.8 million in 2012 (31% growth), supported by expansions in international markets and enhancements to its SuiteSuccess methodology for faster implementations.[22][23][24] The company's momentum continued into the mid-2010s, with revenue reaching $414.5 million in 2013, $556.3 million in 2014 (34% growth), and $741.1 million in 2015, reflecting a compound annual growth rate of approximately 27% from 2007 to 2015.[25][26][27] This expansion was fueled by a growing customer base, which exceeded 24,000 organizations by 2015, and strategic investments in vertical solutions for industries like retail, manufacturing, and nonprofits.[28] NetSuite also achieved a $1 billion annual run rate by early 2016, positioning it as a leader in cloud ERP before its acquisition by Oracle later that year for $9.3 billion.[7][29]| Year | Revenue (in millions USD) | Year-over-Year Growth |
|---|---|---|
| 2007 | 108.5 | - |
| 2008 | 152.5 | 40.5% |
| 2009 | 166.5 | 9% |
| 2010 | 193.1 | ~16% |
| 2011 | 236.3 | 22% |
| 2012 | 308.8 | 31% |
| 2013 | 414.5 | 34% |
| 2014 | 556.3 | 34% |
| 2015 | 741.1 | 33% |