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September 19, 2016

Oracle Attempts to Compete With the Leader in Cloud Computing

Written by Shina Neo

Oracle Attempts to Compete With the Leader in Cloud Computing

It’s a bold claim to make, but Larry Ellison, executive chairman and CTO at Oracle, is confident in what’s on the horizon for Oracle’s Cloud Platform. 

“Amazon’s lead is over,” said Ellison, in his keynote address at the OpenWorld conference yesterday.

Oracle announced its new initiatives across the Oracle Cloud Platform including a wide range of Infrastructure-as-a-Service (IaaS) offerings to compete against major cloud players include Microsoft’s Azure and Amazon Web Services. With its sights set on gaining traction over rival Amazon, Oracle claims its new additions will provide customers more effective and efficient ways to run high-performance data in the cloud. 

 “Amazon is going to have serious competition going forward,” said Ellison. “We now have a tech advantage over Amazon in infrastructure-as-a-service.”

According to an article in The Wall Street Journal, Morgan Stanley estimated that AWS generated $7.9 billion in sales last year, approximately eight times more than Azure, the second largest IaaS player, and the Google Cloud platform registered third, roughly one-sixteenth the size of AWS.

With Amazon at the forefront of cloud computing and Microsoft and Google right behind, Oracle’s strategy stems from the concept of the hybrid cloud, the idea of using corporate and provider data centers.

“There is going to be a 10-year period of coexistence where you have data centers and applications in the cloud,” he said. “It’s very important that those things coexist gracefully.”  

While the benefits of using the public cloud have been blatantly evident including enterprise content sharing, many organizations still face the issue of addressing content management and security.

Managing data security in a traditional IT environment is more manageable as system administrators have full control over the infrastructure; however, it becomes more challenging in the cloud.

To meet this challenge, Oracle’s latest addition to their IaaS portfolio will “harness the benefits of the cloud while retaining many of the benefits provided by a corporate data center,” according to a press release today. More specifically, its new services include bare metal cloud servers that are 11.5 times faster and 20 percent cheaper than the fastest solution offered by the competition. 

During Sunday’s conference, Oracle also announced it was acquiring Palerra, a cloud security startup co-founded by Oracle’s former CEO, Rohit Gupta and CTO, Ganesh Kirti. Palerra will provide cloud security for data across various services and platforms. Based on app integration and content delivery through APIs, Oracle and Palerra will provide protection for users, applications, and infrastructure to secure enterprises, according to Gupta in a blog post. Details pertaining to the deal were not disclosed.

Oracle’s initiative includes building “a new generation of data centers” around the world, according to Ellison. Claiming to have more powerful products for a lower cost, Oracle intends to pass Google and Microsoft and give Amazon some serious competition.




Shina Neo

Shina Neo is the content marketing manager at Content Raven where she is responsible for the publication of all blog posts, white papers, eBooks, infographics and social media campaigns. Previously, Shina worked as a news reporter and has written for numerous newspapers and magazines nationwide. She holds a Masters of Science in Journalism from Boston University.

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