That product offers more than 10 times the input-output capacity than Amazon Web Services (AWS), specifically the i2.8xlarge instance, said Ellison, Oracle cofounder, former chief executive, and current executive chairman and chief technology officer.
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The Seattle-based company is now considered the leader in cloud computing. Ellison, who is also Oracle’s co-founder, added that the company’s second-generation IaaS solution had twice the memory, twice the compute, four times the storage, and 10 times more I/O at a rate that is 20% cheaper than Amazon Web Services (AWS).
For its first quarter, which ended August 31, Oracle reported revenues of $8.6 billion and net income of $1.8 billion, or 43 cents per share.
TBR expects similar acquisition-related SaaS and PaaS revenue increases in the coming quarter, as the closing of the NetSuite acquisition would only contribute partial-quarter revenue and growth from PaaS products announced at Oracle OpenWorld, such as Oracle Database 12c Release 2 (Database 12.2), and Oracle MySQL Cloud Service will offer only a full-quarter impact in F3Q17.
Delivering Oracle’s database as a service, plus platform as a service, together yielded $798 million in revenue (9 percent of total revenue), up 77 percent year over year – strong evidence of the trend toward using even IT stalwarts such as databases more in the cloud and less on-premises.
By the end of this year, Oracle plans to have a second generation 2 region live in the eastern USA, and expects to expand to England and Germany by the close of its fiscal year in June 2017. By the end of the year, Oracle will also make one- and two-core VMs available.
“This is breathtaking change”, Ellison said, in regard to how the rise of cloud computing has altered the enterprise technology landscape and introduced “a whole new set of competitors”. Amazon, which helped pioneer the public cloud, has grabbed the attention of startups and corporations around the world, an effort that’s also put it in competition with Microsoft Corp. and Google.
Still, Oracle faces stiff competition in the cloud computing business.
In its latest quarter, Amazon’s Infrastructure-as-a-service (IaaS) business posted $2.89 billion in revenue – a jump of 58 percent over the same period a year ago. Ellison said the data centers rely on shards of data from around the world for better perforamnce. They want to ease into cloud computing, taking their time to transition away from running data on their own servers.
He took a shot at one of Amazon’s database services, saying that it only works on Amazon’s cloud service and that “if you try to run it on someplace else, it just doesn’t work”.
The Cloud@customer product is an “extension of our public cloud that sits on your data centre floor”, Ellison said.
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“If you aren’t wiling to pay less, you can’t place the order”, Ellison joked to the crowd.
