The new partnership between Oracle and AWS marks a major step forward in Oracle’s multi-cloud strategy.
By enabling Oracle Autonomous Database and Oracle Exadata Database Service to run on AWS infrastructure, customers will benefit from the strengths of both platforms—Oracle’s powerful database technologies combined with AWS’s vast cloud ecosystem.
The collaboration is particularly important for businesses that already rely on Oracle databases but want to leverage AWS’s analytics, AI, and compute services without the need for complicated migrations.
Oracle Database@AWS allows for easier management through familiar AWS tools like the AWS Management Console and CLI, and it supports direct integration with AWS services such as EC2 and AI-driven solutions like Amazon Bedrock.
The zero-ETL (Extract, Transform, Load) integration also stands out, as it streamlines the connection between Oracle databases and AWS’s analytics offerings.
This could simplify the data pipeline, reduce latency, and improve performance for businesses managing large datasets or complex workflows.
Oracle’s Chairman and CTO, Larry Ellison, says the multi-cloud approach is a response to customer demand for flexibility, while AWS’s Matt Garman highlighted the long history of Oracle workloads on AWS and the unified experience this partnership provides for migrating and managing databases.
The Oracle-AWS partnership reflects a broader industry shift towards multi-cloud adoption. Most enterprises now depend on multiple cloud providers to manage risk, adhere to regulatory requirements, and enhance performance.
By teaming up with AWS, Oracle delivers a strategic advantage to businesses navigating this multi-cloud landscape, blending Oracle’s renowned database expertise with AWS’s expansive cloud infrastructure.
Oracle reported strong results for the fiscal first quarter, exceeding analyst expectations. Adjusted earnings per share reached $1.39, surpassing the $1.33 forecast and marking a 17% increase year-over-year.
Revenue came in at $13.31 billion, up 6.9% from the previous year and slightly above the $13.26 billion estimate. The company’s largest segment, cloud services and license support, grew by 10% to $10.52 billion, edging out forecasts.
Oracle’s cloud business, which includes both Infrastructure-as-a-Service (IaaS) and Software-as-a-Service (SaaS), saw robust growth with revenue increasing 21% to $5.6 billion. Cloud infrastructure revenues alone surged 45% to $2.2 billion, aligning with expectations.
However, Oracle’s hardware and services segments reported year-over-year declines. Hardware revenue fell 8.3% to $655 million, and services revenue decreased 8.7% to $1.26 billion, both missing estimates.
Looking forward, Oracle expects cloud infrastructure to drive significant growth, with projections for IaaS revenues reaching $12 billion by the end of fiscal year 2025.
Total remaining performance obligations (RPO) also grew 53% year-over-year to $99 billion, highlighting strong demand for Oracle’s cloud services. Following the earnings report, Oracle’s shares rose approximately 8.3% in after-hours trading.
The preview of Oracle Database@AWS will be available by the end of 2024, with full deployment expected in 2025.
