Oracle has partnered with Amazon Web Services to integrate its database offerings and cloud infrastructure with the cloud platform of the Seattle tech giant. This partnership follows earlier agreements between Oracle and Microsoft and Google Cloud. Oracle’s own cloud platform has a market share in the low single-digits, and the rise of cloud technology has impacted the company’s traditional database business. The partnerships with Microsoft, Google, and now Amazon provide Oracle with a new tactic to retain existing database customers while making it more challenging to convince them to adopt its own cloud platform. This move shifts Oracle from being a platform to a feature on someone else’s platform, according to cloud market expert Charles Fitzgerald.
The new “Oracle Database@AWS” offers access to Oracle Autonomous Database and Oracle Exadata Database Service within AWS, providing a unified experience between Oracle Cloud Infrastructure and AWS. This integration aims to simplify database administration, billing, and customer support for users. Oracle’s chairman and chief technology officer, Larry Ellison, explained that there is a significant demand from customers who want to use multiple clouds. The partnership with AWS marks a milestone in the MultiCloud Era, as indicated by Ellison. Oracle reported better-than-expected fiscal first-quarter revenue of $13.3 billion, up 7%, with profits reaching $2.9 billion. Cloud services revenues increased by 21% to $5.6 billion in the same quarter. Ellison credited the growth rate in Oracle’s database business to its agreements with Microsoft and Google.
After the announcement of the partnership with AWS, Oracle’s shares surged by 9% in after-hours trading. Ellison and AWS CEO Matt Garman were scheduled to appear together at Oracle CloudWorld to discuss the new collaboration. It is worth noting that Oracle is now headquartered in Austin, Texas, and Ellison visited Redmond last year to announce the Oracle-Microsoft partnership alongside Microsoft CEO Satya Nadella. Oracle’s strategic partnerships with major cloud providers allow the company to offer its database solutions on other platforms and enhance its competitive position in the cloud market. These alliances are crucial for Oracle to adapt to the changing landscape of cloud technology and meet the evolving needs of its customers who prefer a multi-cloud approach.
The collaboration with Amazon Web Services further solidifies Oracle’s position as a key player in the cloud services market. By integrating its database offerings with AWS’s cloud platform, Oracle aims to cater to customers who require a multi-cloud strategy. The seamless experience between Oracle Cloud Infrastructure and AWS simplifies the management of databases and improves customer support. The increase in Oracle’s cloud services revenues indicates the success of these strategic partnerships in driving growth for the company. Going forward, Oracle will continue to focus on expanding its presence in the cloud market by partnering with leading cloud providers to meet the growing demand for hybrid cloud solutions.
Oracle’s partnership with Amazon Web Services highlights the company’s commitment to providing flexible and integrated solutions to its customers. By offering access to Oracle Autonomous Database and Oracle Exadata Database Service within AWS, Oracle enables users to leverage the capabilities of both platforms seamlessly. This collaboration signifies a new era in cloud technology where interoperability between cloud services is essential. Oracle’s emphasis on the MultiCloud Era demonstrates its readiness to adapt to the changing needs of customers in a dynamic and competitive market. The success of Oracle’s strategic partnerships with major cloud providers underscores its ability to evolve and innovate in response to industry trends and customer preferences.
