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Larry_Ellison_Wikipedia / Oracle erfindet die Cloud neu
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Was gibt es Neues von Oracle? Larry Ellison will die Cloud neu erfinden



This is how Axel Postinett headlines his Handelsblatt article. So let’s outline the topic “Oracle reinvents the cloud”.

Is it even possible to reinvent the cloud?

OK, anyone who knows Larry Ellison a little better knows that he has never been embarrassed about full-bodied announcements. The louder, the better. This is how Axel Postinett describes him: “Ellison is one of silicon valley’s most dazzling personalities.”

Oracle is not doing badly, but in the battle of the giants, Oracle is far behind Microsoft, for example. Based on market capitalization, the following picture emerges:

“Oracle’s market cap is $170.8 billion – Microsoft’s is $1.54 trillion. Oracle’s consolidated revenue was $39 billion in fiscal 2020. However, Microsoft’s cloud revenue alone amounted to $50 billion in the past fiscal year.”

The author continues: “Ellison has a problem: he can’t invest nearly as much in his global infrastructure as the three giants Amazon, Microsoft or Google. Every year, they invest billions in new cloud data centers around the globe and transcontinental data connections. In this way, they bring their cloud centers as close as possible to the customer in order to guarantee fast data transfer and short response times of the servers. Ellison is now making a virtue out of necessity: if desired, he builds his cloud completely directly at the customer’s company.”

L. Ellison and his team are building Oracle’s “digital cloud cuckoo home” to keep customers loyal to Oracle. This is not easy, as the new head of Germany Stefanie Kemp outlined in her interview. Of course, she is aware of the challenge that customers who are in the Microsoft Azure or AWS cloud are difficult to get rid of.” But giving up is not a solution.

Notes on your own behalf:

All about cloud in the context of CRM and MarTech in our Flipboard magazine.

How is the cloud market developing?

The different types of cloud briefly introduced.

What does “making a virtue out of necessity” mean when it comes to the cloud?

Oracle calls this “Dedicated Region Cloud@Customer” in its latest press release. A beautiful, long term that means what?

“To meet high customer demand, Oracle yesterday announced Oracle Dedicated Region Cloud@Customer, the world’s first fully managed cloud region in customers’ data centers.

All second-generation Oracle public cloud services—including Autonomous Database and Oracle Cloud applications—can now be deployed on-premise, directly at the customer’s site.”

In other words, it is a cloud installation that is set up directly at the customer’s premises.

“Companies receive the same complete package of modern cloud services, APIs, industry-leading SLAs, very good value for money and the highest security standards that are also available in Oracle’s public cloud region in the company’s data centers.

The offering is particularly suitable for highly regulated or security-oriented companies that need to meet demanding data retention requirements, reduce operating costs and modernize legacy systems.”

Why did Oracle develop this this way?

“Our business customers have told us that they want the full functionality and user interface of a public cloud on-premise to operate their mission-critical workloads, including access to all Oracle cloud services,” said Clay Magouyrk, executive vice president of engineering, Oracle Cloud Infrastructure.

“That’s exactly what they’re getting with Oracle Dedicated Region Cloud@Customer. On this platform, companies receive all of our second-generation cloud services, including the Autonomous Database, directly in their own data centers. Our competitors cannot offer their customers a comparable dedicated cloud on-premise.”

So what is the USP of the new Oracle cloud solution?

“It ensures an unsurpassed level of security for the customer.”

You can read more about the service and the offer here directly at Oracle.

Our conclusion and comment:

This is what still drives many customers in medium-sized companies: They are reluctant to give their data – especially customer data – into the hands of foreign data centers.

Only recently, the Privacy Shield Agreement was overturned by an ECJ decision. Thus, Oracle’s new cloud offerings fit perfectly into the current discussion.

Since the beginning of cloud installations, this has led to stomach aches or a clear defensive attitude.

So Oracle has quite a few new, good arguments on its side. ESPECIALLY CEOs in medium-sized companies are still hesitant to move to external clouds.

What we can also imagine is that Oracle re-leases unused cloud capacity for external purposes. This may allow Oracle to offer the customer a better pricing model. This would be another argument for Oracle.

Whether this is compliant with the GDPR or other laws, I briefly discussed with Axel Postinett, Ralf Korb and others on Facebook. One thesis was whether this is something new or just old wine in new bottles. I quote from this as follows:

Georg Blum:

“I know this from other industries, such as printing centers. At some point, it was too expensive for insurance companies and banks or other companies with annual contracts to operate their own printing centers. Then these devices were sold to an external operator, who took over all the “junk”… to then print other jobs on the days when the client had no printing.

And this cloud (that’s how I imagine it) is then also provided by Oracle and then the overcapacities are also used by others. This makes it much cheaper for the client.

Will this prevail? Exciting question.”

Axel Postinett:
“Georg Blum interesting question. I’m not sure if Oracle is legally (and practically) able to use the dedicated equipment elsewhere when idle.

But it could be exciting if the customer agrees and Oracle can process external orders behind the company firewall (!) and in return, for example, give credits on the monthly flat rate.”

Answer Georg Blum:

“Axel Postinett my thought was, it must be worthwhile for Larry & Co. Otherwise, it would be a pure exchange of an operating solution. It’s also possible, but I suspect he’s thinking “in scale” and not just Europe with GDPR. ?”.


The last positive product news was: Zoom is building on the Oracle cloud. This message could be a small liberation blow.


Note: This is a machine translation. It is neither 100% complete nor 100% correct. We can therefore not guarantee the result.


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