The Register: Siebel OnDemand CRM: has Siebel shot itself in the foot?

The Register: Siebel OnDemand CRM: has Siebel shot itself in the foot? "There seems to be a rare consensus among analysts following Siebel's CRM OnDemand announcement that while it is a good product, it is most likely to be successful among those companies that already have a Siebel deployment in place - and some potential customers are likely to choose the new hosted version, rather than fork out for an all-singing-and-dancing on-premise version of a software that does more than they really need. This is especially so since Siebel has made its hosted version available backed up by analytics capabilities.
Siebel has really made this move because it was forced to compete with the newer players on the market to protect its market share. It needs now to work hard on bringing the usability of its in-house version of the software up to scratch if it to avoid shooting itself in the foot by cannibalising that sales channel."