What to Know About Oracle’s Plans to Drop AI for PeopleSoft

Key Takeaways from the Webinar

Oracle’s PICASO and AI Plans for PeopleSoft Are Ending, But It’s Not a Crisis

Oracle announced it will no longer invest in AI for PeopleSoft and is deprecating its conversational AI tool, PICASO, which was built on Oracle Digital Assistant (ODA). While the news initially raised concern, the panel quickly dispelled the idea that this is a disruptive change. “PICASO was never widely adopted. It had only seven out-of-the-box skills,” explained Paul Taylor. “It wasn’t a game-changer, and it didn’t deliver the broad capabilities users expect when they see a chat bubble.” Andrew Bediz added context: “This isn’t Oracle pulling the plug on deeply integrated AI features…PICASO was more of a dabble.” The announcement also included Oracle’s intent to publish a technical “red paper” to guide customers on building their own AI integrations for PeopleSoft, signaling a shift to a partner or DIY model.

Yes, You Can Still Use AI for PeopleSoft…and You Should

Despite Oracle stepping back, AI for PeopleSoft is very much alive. In fact, the panel emphasized that organizations can and should continue exploring AI to drive process efficiency, user support, and data insights. “The real takeaway is that AI is how we’re going to do business moving forward,” said Paul Taylor. “Whether you’re doing it yourself or with a partner, a long-term commitment is required.” Andrew reinforced the benefits of continuing the AI journey: “If you’re using PeopleSoft, you don’t have to wait. All the tools you need are already available through Oracle Cloud: vision, translation, generative AI, even models like Grok and GPT.” The panel made it clear: The opportunity to enhance PeopleSoft with AI is still on the table, just not directly inside a PeopleTools update.

DIY vs. Partnered Approaches: Choose Based on Your Resources

With Oracle no longer providing delivered AI features, organizations now face two paths: build their own AI capabilities or partner with experts. For the DIY route, Andrew explained, “If you’ve moved PeopleSoft to Oracle Cloud, that gives you huge advantages. All the AI tools are in the same data center, which improves data security and integration. But you’ll need skilled teams, regular releases, and a nimble strategy to succeed.” Partnering offers an alternative. Paul noted that organizations should seek AI vendors familiar with PeopleSoft’s architecture: “Look for someone who understands the Oracle ecosystem. A generic AI solution might work, but it’s a longer journey. Partners like us can accelerate success and offer native integrations.” Gideon Taylor’s AI solutions (like Ida) are already helping clients integrate AI without relying on the deprecated PICASO product.

Real-World Use Cases Are Thriving

Despite the shift in Oracle’s roadmap, organizations are actively deploying AI for PeopleSoft with strong results. Common use cases include:

• User Support Bots: Offering 24/7 help for students, faculty, employees, or applicants going beyond FAQs to act as AI agents, executing transactions and retrieving real-time data.
• Higher Ed Advising: Recommending courses based on schedules, past credits, and availability.
• Conversational Application Support: Guiding users while they fill out forms or navigate complex onboarding processes.
• Learning Support: Providing AI-driven tutoring and answering questions mid-training.

“We have clients doing 20,000 conversational AI engagements a month,” shared Andrew. “At $19 per service ticket, that’s real ROI.”

Oracle’s Broader Ecosystem Is Still Valuable

Though Oracle is stepping back from AI for PeopleSoft specifically, its broader ecosystem continues to evolve. Technologies like Oracle 23 AI, which introduces vectorized data directly in the database, could open doors for advanced natural language querying and AI-driven analytics in PeopleSoft environments. “Oracle 23 AI doesn’t give you AI out of the box, it gives you the foundation to make your data AI-friendly,” explained Paul. “That’s a big step forward.” The team also noted that ODA itself is not being deprecated and is still the foundation for Oracle’s AI tools in Fusion and beyond. In fact, Oracle is investing in its clinical digital assistant for the healthcare space, suggesting that advancements made there may eventually benefit other industries.

Conclusion: The Future of AI for PeopleSoft is Still Bright

Oracle’s announcement to sunset AI for PeopleSoft may seem like a step back, but as the webinar made clear, it’s actually a green light for organizations to pursue more tailored, innovative AI paths. Whether you go the DIY route or work with partners like Gideon Taylor, the message is: You still have powerful tools at your disposal, and AI remains a critical strategy for enterprise success.