For a while, cloud computing and technology became something of a buzz term in many ways. If anyone didn’t know how something worked or where it went, it inevitably would lead to someone referencing the magic of the mysterious technological cloud.
Today, more and more people are beginning to understand and utilize such services as they keep growing in popularity. One of the latest companies to try and carve out space in an increasingly crowded space is Oracle Corp., which announced late last month they will be launching a new expansion of their cloud computing program at the Oracle OpenWorld 2015 event, according to Forbes.
When it comes to cloud computing, there are different types, but the one Oracle will be expanding is an Infrastructure-as-a-Cloud (IaaS) services.
Oracle is not just introducing a cheap alternative, though. In fact, they’re aiming straight for the top as they compared their new services capabilities with Amazon’s Amazon Web Service (AWS), the online retailer’s IaaS branch and current unquestionable leader in this specific space.
Early financial reports have come back positive for the new competitor on the block, but the established industry juggernauts, such as Amazon and Google, are strong brands to win support away from. The 2016 first quarter revenues for Oracle’s cloud computing was about $2.5 billion, which was almost a 30% increase in that category from previous quarters but still lagged well behind AWS’s $7 billion-plus revenue stream.
Up until this point, Oracle’s bread and butter has been in the database software business, and expanding into the fiercely competitive IaaS market will be a struggle with such established leaders. The move is certainly not impossible, though, especially as more and more new companies, businesses, and first-time users seek out a provider.
The other advantage they will have is in providing these new services to their current on-premise database clients. It just makes sense for most businesses to use the same provider and keep it all under one roof.
The opportunity, however slight, is there. Now it’s just up to the cloud services themselves — and the people who sell them — to prove their worth.