Through Oracle's Application Integration Architecture, customers are able to integrate Siebel CRM and Siebel CRM...
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On Demand through pre-built process integration packs (PIPs) to enable business processes such as "Opportunity to Quote" and "Order to Cash" (O2C). Oracle has several customers that have deployed Siebel CRM on-premise and CRM On Demand in an integrated fashion, but the number of customers using Siebel in this manner is very limited at present.
If you are planning to deploy the solution to disparate user groups (i.e. the Siebel solution on-premise users would be distinct from the CRM On Demand users) then integration packs offer little value. However, if you need to integrate the user populations across common processes, then the integration packs may be attractive. However, in this scenario, the user populations would be using CRM solutions with different UIs, even though they are from the same vendor.
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