Oracle Named Top-Tier Software Vendor by APPS RUN THE WORLD in the APPS and CLOUD TOP 500 Market Report

Oracle Strengths, Domain Expertise, and Key Differentiators

Oracle NetSuite continues to empower its customers with innovative solutions to harness the full potential of their data. The recent updates to NetSuite Analytics Warehouse, an AI-enabled, prebuilt cloud data warehouse and analytics solution, promise to revolutionize data management for organizations. NetSuite Analytics Warehouse is a game-changer for organizations seeking to make sense of their data in an increasingly complex and data-driven world. By leveraging AI and consolidating data from various sources, including NetSuite transactional data and other cloud or on-premises applications, this solution creates a single source of truth, enabling actionable insights that can drive growth.

Key Enhancements of NetSuite Analytics Warehouse: 1) Analytics Embedded in User Dashboards: NetSuite customers can now seamlessly integrate important visualizations from NetSuite Analytics Warehouse into their dashboards. This capability allows for efficient tracking of key metrics and drill-down access to charts based on blended data from NetSuite and other systems. The result is immediate access to comprehensive insights, eliminating the need to switch between applications for data-driven decisions. 2) More Frequent Data Refreshes: The latest updates introduce new data pipeline settings, offering customers more up-to-date insights into their financial, sales, and inventory activities. Users gain flexibility in scheduling the frequency and timing of data refreshes, maximizing the value of their data. 3) Enhanced Analysis of Financial Data: A new financial analysis subject area empowers customers to explore financial activity from various angles and incorporate data from other business systems for P&L improvement. Additionally, the budget subject area facilitates budget vs. actual scenario analysis, aiding resource allocation adjustments. 4) Deeper Insights: NetSuite Analytics Warehouse now provides line-level details, allowing users to conduct analyses below the summary level. This deep dive into revenue-impacting areas, such as sales orders and inventory activity, enables role-based insights and data-backed decision-making across the organization. 5) Improved User Access Management: New Single Sign-On (SSO) simplifies user authentication, providing a single login for both NetSuite and NetSuite Analytics Warehouse. Moreover, customers enjoy enhanced flexibility in applying user views and access rights to analytic content. New roles and dimensions, like department, subsidiary, and sales territory, enable precise control over access to dashboard content and underlying transaction details.

After investing heavily in its Cloud infrastructure to have 44 cloud regions by the end of 2022, Oracle has set its sights on its core strength - product innovation. In the Cloud ERP market where it dominates, each new release could bring more than 1,000 new features and increasingly the vendor is switching on the machine learning spigot to spur product development. Additionally, the vendor is banking on its heavy investments in neural network and machine learning technologies to speed product releases, along with the coupling of its Cloud-native autonomous database to run programs more efficiently, securely and at low-cost without the intervention of manual labor for software patching and debugging.

As of September 2021, Oracle has secured 8,200 Oracle Fusion ERP customers with 6,400 having already gone live as the vendor delivering rapid Cloud activation to accelerate the innovation push among a growing list of large and mid-sized enterprises. Their innovation journey marks a major milestone as they first go live with Cloud ERP to improve speed to decision, then use AI tools like Intelligent Document Recognition to sift through journal entries, supplier documents and finish off with continuous feedback to help Oracle stabilize these Cloud apps every quarter and perfect them for other users.

The crux of Oracle Cloud ERP is continuous and cutting-edge innovation – more than 15 years in the making – that leverages its Gen 2 Cloud Infrastructure to mitigate integration and implementation risks for the most complex IT and back-office environments.

The latest Oracle 21c Fusion Applications update extends beyond financial management with such new features as conducting complex procurement for both goods and services to mitigate supplier risks, drilling down into procurement and supplier performance analytics and classifying spending patterns, assessing supplier health and verifying supplier data for speedy onboarding, as well as practicing project-driven supply chain in asset-intensive industries with disparate design, engineering, production and assembly operations.

Oracle is expected to double down on its CX applications by marrying digital advertising, lead-generation, and lead-qualification into a fully integrated online selling system. One of the recent wins of Oracle CX is Aon, which experiences considerable value by consolidating six different CRM apps into an Oracle Cloud system with fully integrated CX features. In the HCM market where Oracle saw a 35% spike in Fusion Cloud HCM sales in 4Q21 after a 23% rise in 3Q21, the vendor aims to combine increased use of AI and machine learning, better Employee Experience access to all backend systems, while reinforcing the needs to ensure diversity and inclusion, and enhanced cybersecurity protection for work from home employees.

Oracle Recent Developments

In the ever-evolving landscape of the financial industry, Oracle is making significant waves with its latest expansion of Oracle Banking Cloud Services. This strategic move aims to help banks swiftly launch comprehensive transaction banking offerings, enabling them to stay competitive, provide enriched customer experiences, and optimize cash management.

Oracle's expanded Oracle Banking Cloud Services portfolio is geared toward helping banks establish themselves as leaders in the transaction banking sphere. The new services cover a wide range of critical areas, including cash management, liquidity management, virtual account management, and real-time payment processing. These services are particularly relevant in the current financial landscape, where corporate clients are looking for ways to optimize cash management and credit ingestion. With approximately $1.7 trillion USD tied up in working capital, efficient cash management and credit optimization are pivotal for corporate performance and profitability.

Key Highlights of Oracle's Banking Cloud Services: 1) Real-time Payments Processing: Oracle's real-time payments processing capabilities enable banks to offer quick and efficient payment services, ensuring that transactions are completed in real-time, reducing delays, and providing a seamless experience for customers. 2) Hyperscale Account Operations: The hyperscale account operations feature allows banks to handle large volumes of transactions efficiently, ensuring that account operations can scale seamlessly with the growth of the bank's customer base. 3) API Integration: Oracle's APIs enable banks to connect with various systems, enhancing their ability to offer innovative services and integrate with other digital platforms. 4) Improved Visibility and Forecasting: With Oracle Banking Cloud Services, banks can enhance their ability to provide customers with improved visibility and forecasting, helping them make more informed financial decisions. 5) Liquidity Management: The liquidity management service offers banks the tools they need to optimize liquidity for their customers, ensuring that working capital is managed efficiently. 6) Virtual Account Management: Virtual account management provides a solution for complex global account structures, allowing banks to help corporate clients gain better control over their working capital. 7) Cash Management: The cash management service enables banks to assist corporate customers in optimizing working capital management, and enhancing cash flow forecasting, collections, and receivables management.8) Enterprise Limits and Collateral Management: This service streamlines credit facilities by digitizing and simplifying the entire credit lifecycle, allowing banks to onboard corporate customers quickly and efficiently. 9) Retail Accounts and Term Deposits: The Banking Accounts Cloud Service now includes retail accounts, retail and corporate term deposits, nostro management, and account servicing, offering a centralized accounts engine to streamline and optimize account management and operations. 10) Digital Banking Experience: Oracle's Digital Banking Experience Cloud Service empowers corporates with self-service features that help them drive business objectives, improve liquidity positions, and manage supply chain finance more effectively. 11) API Integration: The Banking APIs Cloud Service offers a broad range of banking APIs that help banks accelerate innovation and improve customer experiences by efficiently embedding banking services into partner digital channels and ecosystems.

Oracle's latest expansion of Oracle Banking Cloud Services offers a comprehensive suite of solutions for banks looking to thrive in the modern financial landscape. These services address the core challenges facing the banking industry, including cash management, liquidity, and real-time payments. With Oracle's help, banks can provide enriched customer experiences, accelerate innovation, and gain a competitive edge in a volatile market. The financial industry is evolving at a rapid pace, and Oracle is equipping banks with the tools they need to stay ahead of the curve. It's clear that Oracle's Banking Cloud Services are set to play a pivotal role in shaping the future of the banking sector, ultimately benefiting both financial institutions and their valued customers.

Oracle ended its fiscal 2021 by becoming one of the fastest-growing Cloud providers as the 44-year-old enterprise software vendor is gearing up to move past the pandemic. Oracle grew the most in both the Cloud Infrastructure As A Service(IaaS) and Cloud ERP markets among the leading vendors as the Austin company continues to expand beyond its database stronghold.

Oracle saw a 119% jump in IaaS revenues in 2020. In addition, Oracle topped the Cloud ERP market in 2020, ahead of the second-ranked Intuit by a margin of two to 1 in Cloud revenues and the fifth-ranked SAP by a margin of three to 1. Oracle ended its fiscal 2021 on May 30 without skipping a beat, achieving a 36% jump in earnings on record revenues of $40.5 billion, a 4% rise and the highest in its history. In its fourth quarter, Oracle posted a 8% growth in revenues including a 11% jump in applications cloud services and maintenance fees.

In fiscal 2021, Oracle Cloud Infrastructure more than doubled to post $2.3 billion in Cloud subscription revenues. Our IaaS estimates for OCI were $1.9 billion in 2020, up 119% with a steeper ramp than its bigger rivals. In 4Q21, Oracle reported a 46% jump in its Fusion Cloud ERP business contributed to an annualized revenue of $4.4 billion for its back-office apps. Our research shows Oracle Cloud ERP(including both Fusion ERP and NetSuite) amounted to $3.1 billion in Cloud subscription revenues in 2020, up 33% from 2019, the highest growth rate among the top 10.

Oracle Autonomous Database, which is being touted as the next-generation database technologies with minimum amount of tuning, patching, and intervention involving database administrators, is another product ideally suited for the new era of social distancing and remote working. The revamped Exadata Cloud@Customer plan now allows its on-premise customers to deploy Oracle Autonomous Database in their own datacenter, making the new database more readily available to its vast installed base that exceeds 250,000.

In one of our recent surveys of more than 350 implementations of Oracle Autonomous Database in Western Europe and the US, our research shows 75 have already gone live in the first five months of 2020, compared with 140 for the full year of 2019, suggesting that despite the pandemic there is still healthy appetite for and considerable need to activate new technologies – especially those that can help tackle essential tasks like transaction processing, data warehousing and other regular database workloads.

Then, there is the surging demand for Oracle Cloud Infrastructure, which has signed up a number of popular cloud services like Zoom and 8×8, online video conferencing applications that have seen skyrocketing usage because of the shelter in place restrictions that force many employees to work from home.

At the product level, Oracle extended free applications and services to its customers in such areas as Workforce Health and Safety, Employee Care, Scenario Planning as part of what we refer to Enterprise Essentials applications designed to bolster recovery efforts of pandemic-ravaged organizations. The same was true in areas such as Food and Beverage, where Oracle offered free assessments of restaurants (from chains, to independents) to help them navigate the pandemic and quickly hook up new services such as online ordering and delivery. The vendor is also opening up the Oracle Analytics Cloud to a range of Oracle Cloud applications from Fusion ERP to Fusion HCM, in addition to other third-party cloud software data sources, thus generating more useful dashboards and insights for millions of users. In some of these use cases, Oracle Analytics Cloud, along with these apps, can cut lead time by two-thirds for functions such as contingent hiring during the pandemic or reducing 18 to two hours when running ETL tasks.

In FY20, Oracle also shored up its CX applications by improving their performance with the use of Oracle Autonomous Database, the new Oracle Redwood interface, as well as the Oracle Cloud Infrastructure. Oracle also acquired Crowdtwist for its customer loyalty applications last October, in addition to strengthening the CX ecosystem by partnering with Google and Zilliant, which will integrate CX Service and CX CPQ into their messaging and pricing products, respectively.

The same commitment to delivering ease of integration is also evident in Oracle Hospitality, the former MICROS operations, which aims to provide a complete set of REST APIs unified in a single platform for its partners that will have access 3,000 API capabilities in order to introduce a range of touchless, social distancing and self-service options for hotels, quick service restaurants and other guest-driven venues, all of which are adapting to a new operating model in the post-pandemic world. The same for Food & Beverage with MICROS, now offering 80 integrations that have been essential in helping restaurants transition in the pandemic to contactless payment, delivery, and more. Like CX, Oracle's Industries solutions group (The Global Business Units), spanning nine industries (Communications Applications and Networks, Hospitality, Retail, Food and Beverage, Financial Services, Construction and Engineering, Heath Sciences and Utilities) also fortified their performance and security by moving to Oracle Cloud Infrastructure. Oracle continues to make significant enhancements across its Global Business Unit solutions. These include adding new machine-learning driven inventory management capabilities for retailers to navigate changes in demand during COVID-19, to new cloud-capabilities to help mid-size banks fight financial crime, to helping utilities use the latest enhancements in behavioral science to help customers save money and energy. Moreover, Oracle is driving deeper integration between its back-end solutions and the depth of the GBU offerings to help customers solve complex challenges. In October, Oracle launched a jointly developed CX + Communications GBU solution to help the communications industry better engage, attract and retain customers with unique packages and offers.

Oracle Mergers and Acquisitions (M&A) Activities

Oracle announced its acquisition of Next Technik on September 25, 2023. This acquisition is set to transform the way businesses manage their field service operations and is particularly significant for NetSuite customers seeking to enhance their capabilities in scheduling, dispatch, inventory, and asset management. Next Technik is a company that specializes in providing field service management capabilities, primarily catering to NetSuite customers. Their suite of solutions allows businesses to transition into a digitized and streamlined approach to handling various aspects of field service operations. These capabilities include scheduling and dispatch, as well as inventory and asset management. By streamlining these critical functions, businesses can improve productivity, operational efficiency, and ultimately customer satisfaction.

Oracle's decision to acquire Next Technik is not a mere coincidence. It is a well-thought-out strategic move to further strengthen Oracle's position in the field service management space. By integrating Next Technik's capabilities into its product portfolio, Oracle can offer an end-to-end solution that extends far beyond the traditional realm of enterprise resource planning (ERP) software. This acquisition allows Oracle to provide NetSuite customers with a more comprehensive set of tools to manage their field service operations. It's a win-win situation for businesses that rely on NetSuite, as they now have access to a seamless and tightly integrated platform for not only managing their finances but also for efficiently handling their field service tasks. This synergy between ERP and field service management is critical for businesses looking to stay competitive in an increasingly digital and customer-centric world.

With the transaction now closed and the Next Technik team becoming part of the Oracle NetSuite organization, we can expect to see rapid developments in the field service management capabilities offered by Oracle. The synergy between Next Technik's specialized field service solutions and Oracle's extensive technology and cloud infrastructure will likely result in innovative and integrated offerings. Oracle's strategic acquisition of Next Technik demonstrates its commitment to delivering comprehensive solutions that meet the evolving needs of businesses in a digital age. It's a testament to Oracle's dedication to staying at the forefront of the IT industry and providing its customers with the tools they need to thrive.

Following the completion of its $28-billion purchase of Cerner, Oracle outlined a number of initiatives including the use of artificial intelligence modeling for disease management, and digital assistants for better practice management and patient engagement. The vendor also highlighted how Cerner’s EHR systems integrated with Oracle Fusion Cloud Applications could help healthcare customers manage their workforce and schedule health practitioners while enabling them to leverage the latest procurement, blockchain, and RFID solutions when authenticating and ordering medical supplies.

Oracle NetSuite acquired Adi Insights to provide those added workforce capabilities to SuitePeople, NetSuite's human resource management solution. Workforce management software helps businesses increase employee efficiency and productivity. It allows managers to optimize the deployment of people while considering productivity, compliance and financial impact. In June 2021, Oracle completed the acquisition of GloriaFood for global online ordering system and marketing solutions to enable restaurants of all sizes to go digital and serve customers directly through the web, mobile, and apps. In April 2021, Oracle acquired FarApp for eCommerce, logistics, retail and hospitality connectors for Oracle NetSuite. The acquisition is expected to enable a more seamless and unified experience for NetSuite customers.

Oracle Customers in ARTW Customer Database

Leveraging a rigorous data-centric research methodology, APPS RUN THE WORLD asks the simple question: Who’s buying Oracle applications and why? And we provide the answers – supported by decades of research – to our clients around the world. Our Customer database has over 100 data fields that detail company usage of Oracle and other enterprise apps by function, customer size, industry, location, implementation status, partner involvement, Line of Business Key Stakeholders and IT decision makers contact details. List of Verified Oracle ERP Cloud, Oracle Analytics Cloud, Oracle CX Cloud, Oracle Data Cloud, Oracle EPM Cloud, Oracle ERP Cloud, Oracle HCM Cloud, Oracle Hospitality Cloud Solutions, Oracle PPM Cloud, Oracle SCM Cloud, Oracle Social Cloud, Oracle Utilities Cloud, Oracle Utilities Opower Cloud, Textura Cloud Solutions, NetSuite ERP, NetSuite HCM, NetSuite OneWorld, NetSuite PSA, NetSuite SCM, NetSuite SuiteCommerce, along with scores of industry solutions for banking, life sciences, utilities, and other verticals. customers.

Oracle Key Enterprise and Cloud Applications

Oracle ERP Cloud, Oracle Analytics Cloud, Oracle CX Cloud, Oracle Data Cloud, Oracle EPM Cloud, Oracle ERP Cloud, Oracle HCM Cloud, Oracle Hospitality Cloud Solutions, Oracle PPM Cloud, Oracle SCM Cloud, Oracle Social Cloud, Oracle Utilities Cloud, Oracle Utilities Opower Cloud, Textura Cloud Solutions, NetSuite ERP, NetSuite HCM, NetSuite OneWorld, NetSuite PSA, NetSuite SCM, NetSuite SuiteCommerce, along with scores of industry solutions for banking, life sciences, utilities, and other verticals.

Oracle Revenues, $M:

Oracle Revenue Breakdown By Type, $M:

Oracle Enterprise Applications Revenues By Functional Markets, $M:

Oracle Enterprise Applications Revenues By Verticals, $M:

Oracle Revenues By Region, $M

Oracle Direct vs Indirect sales

Oracle Customers - Breakdown by Geo, Size, Vertical and Product

List of Verified Oracle Customers

No. of Oracle Customers: 430000

No. of Oracle Enterprise Applications Customers: 430000

No. of Oracle Cloud Customers: x

No. of Oracle Cloud Subscribers: 45 million

The number of Fusion ERP customers has exceeded 8,200 as of September 2021, while the installed base of NetSuite customers has expanded to 27,000, up from 11,000 five years earlier when it was acquired by Oracle.

On the HCM side, Oracle has more than 3,300 customers for its Cloud HCM applications primarily for Core HR. It also sells to thousands of customers for its talent acquisition product. Our estimate is that Oracle has about 8,000 Oracle CX Cloud customers, including 3,500 that it picked up from acquisitions of Eloqua (1,000), Responsys (500), RightNow (2,000) and a string of smaller ones like Bluekai, Vitrue and Grapeshot since 2012. Oracle’s Fusion Cloud SCM applications, now exceeding 3,300 customers, compared with about 1,000 in 2018. Oracle has secured more than 20,000 Cloud apps customers including many that have purchased multiple products.

Other tucked-in acquisitions included BlueKai for marketing data management with 200 customers, LiveLook for customer service and support with 500 customers, TOA Technologies for field service automation with about 100 customers, and Datalogix for Data As A Service with 650 customers.

On the on-premise side, Oracle has more than 25,000 customers using such products as E-Business Suite, JD Edwards, PeopleSoft and Siebel. That does not include its industry-specific solutions like Micros for retail and hospitality, iFlex for core banking and PhaseForward for life sciences.

Altogether Oracle has nearly half a million customers worldwide.

Oracle Market Opportunities, M&A and Geo Expansions

In September 2023 Oracle unveiled the integration of generative AI-powered capabilities into its Oracle Fusion Cloud Customer Experience (CX) suite. This forward-thinking addition leverages the Oracle Cloud Infrastructure (OCI) generative AI service to optimize customer service delivery, boost productivity, and enhance the overall customer experience. As an IT industry analyst, I'm here to explore the implications of this development and its impact on organizations aiming to provide top-notch customer service.

Generative AI is poised to be a game-changer in the realm of customer service. It offers the ability to generate content, provide summaries, and offer content recommendations, all in real time. This empowers customer service professionals with quick access to accurate information, which is crucial for delivering outstanding customer experiences.

Rob Tarkoff, Executive Vice President and General Manager of Oracle Cloud CX, highlights the significance of generative AI in customer service. He emphasizes that the ability to summarize, author, and recommend content has the potential to significantly enhance customer service engagements. With Oracle's new capabilities, organizations can resolve customer service issues faster and more efficiently. This is achieved by increasing the productivity of service agents and field technicians, optimizing self-service options, and automating tasks that are traditionally manual and time-consuming.

Oracle's move to integrate generative AI into its Oracle Fusion Cloud CX is a clear testament to the company's dedication to enhancing customer service. It's a bold step toward a more efficient, personalized, and secure customer service experience. The ability to generate content, provide accurate summaries, and make content recommendations in real time will undoubtedly set a new standard for customer service excellence. As the IT industry continues to evolve, innovations like Oracle's generative AI-powered CX capabilities will be a driving force behind organizations' abilities to deliver unparalleled customer experiences. In an era where customer satisfaction is a key differentiator, Oracle's initiative is poised to help businesses stand out in the competitive marketplace.

Having moved a large amount of ERP workload to the Cloud on behalf of its customers, Oracle is boosting the innovation quotient by delivering enhancements like touchless invoicing. Also, AP and AR automation will be one of the key areas for 2022 as Oracle continues to expand the reach of its common data model, improved user interface and direct integration of its analytics tools.

Oracle Analytics Cloud has become the must-have reporting and analytical tool for small companies, beyond the large enterprises that it usually serves, as the analytics engine for back-office functions now supports Supply Chain Management in addition to ERP and HCM.

The pervasive use of analytics is beginning to be felt among its Oracle NetSuite customers. Recently, Oracle introduced SuiteBanking for AP/AR automation, cash management as well as invoice processing to strengthen cash position of its customers. By leveraging the Oracle Analytics Cloud, NetSuite also introduced NetSuite Analytics Warehouse for embedded decision-support capabilities for midmarket companies increasingly demanding intuitive big data and business intelligence tools to help them spot trends and execute financial and operational decisions. Additionally, NetSuite is adding Insight from Customer 360 to create a new kind of Customer Data Platform that aims to capture and create unified customer data records across different touch points from email to text.

At the vertical level, the company already has nine industries global business units that are focused solely on front-office solutions for utilities, hospitality, financial services, food and beverage, retail, life sciences, construction and engineering, and communications (networks and applications). For example, Oracle Textura now manages payments for construction projects valuing $1 trillion. Two more business units are on the horizon – State and Local and Healthcare. In industry cloud solutions alone, Oracle now offers 60 application skus, serving 100,000 customers and 16 million users.

That's where Oracle Fusion Cloud Procurement could become more strategic than ever in the post-pandemic era. The Cloud procurement offering is positioned as the nexus between its financial management and supply chain applications, allowing for optimized visibility into how one spends on its goods and services to capture maximum savings, while bullet-proofing its supply chain with sustainability in mind, a prerequisite especially for those with significant carbon footprint around the world. For example, Tetra Pak, the $13-billion packaging goods company, has recently implemented Oracle Cloud SCM in a multi-phase project designed to achieve advanced logistics support and optimized transportation management visibility. At Tetra Pak, the use of Oracle Cloud SCM greatly improves the different moving parts of its logistics operations, which in turns helps meet its sustainability target.

All of these workloads will eventually be running on the Oracle Cloud Infrastructure. Oracle is ready to take OCI to the next level by signing not thousands, but rather tens of thousands of new accounts every year in order to drive economy of scale needed to succeed following activation of scores of new Cloud regions over the past couple of years. Oracle plans to operate 44 cloud regions in total by the end of 2022. After posting more than $2.3 billion in subscription revenues in fiscal 2021, CEO Safra Catz said the vendor is planning to double its Capex on its cloud services to $4 billion – especially in propelling OCI further in its current year.

Oracle Risks and Challenges

During the pandemic, Oracle has been focusing on accelerating the digital transformation initiatives of its key accounts, while making increasing inroads into those that are consolidating their back-office and customer-facing systems around the Oracle Cloud stack. Even with $23 billion in cash at the end of 1QFY22, Oracle has not pursued major acquisitions - unlike the hearty appetite of its rivals. Instead, the vendor has committed to building out its Cloud infrastructure by adding more coverage to extend into at least 42 regions by 2022.

What that suggests is that Oracle is biding time until the middle of the decade to challenge both AWS and Microsoft for a healthy chunk of the Cloud infrastructure market especially among customers that are leaning toward a hybrid cloud strategy - meaning they would run their data centers through a combination of the top two or three cloud service providers.

Instead of engaging in hunting and gathering, Oracle is taking a different path by sustaining precious resources like customer successes and hard-to-replace assets like ERP and databases. The risk lies in giving up near-term market-share gains especially in fast-growing areas like robotic process automation, digital workplace, eCommerce, next-generation payments, etc.

Oracle may be preparing itself for an extended period of industry shakeout based on its recent decision to relocate from its long-time headquarters in the San Francisco Bay Area to a lower-cost city like Austin and other changes including streamlining its European operations by positioning Scotland, which aligns itself closer to European Union, as the buffer against the whims of the UK government following Brexit.

Suffice it to say that Oracle is showing a steady hand in the midst of a changed world, while taking the road less traveled.

Oracle Ecosystem, Partners, Resellers and SI

In September 2023, Oracle and Microsoft joined forces to create a revolutionary cloud service that will change the way organizations manage their data and applications. Oracle Database@Azure is set to become a game-changer in the world of cloud computing, offering customers a seamless and integrated experience with the highest level of performance, security, and flexibility. Oracle Database@Azure is all about empowering organizations with the best of both worlds. It combines the performance, scale, and workload availability of Oracle Database running on Oracle Cloud Infrastructure (OCI) with the security, flexibility, and best-in-class services offered by Microsoft Azure. This partnership aims to provide customers with a unified environment for their data and applications, offering a one-stop solution for their cloud computing needs. The partnership between Oracle and Microsoft is geared towards providing customers with a comprehensive and integrated solution that caters to their unique needs and challenges. The ability to seamlessly connect Azure services with the latest Oracle Database technology demonstrates a commitment to making cloud-powered innovation accessible to organizations of all sizes and industries. As businesses continue their digital transformation journey, cloud service providers play a pivotal role in enabling secure, efficient, and scalable operations. Organizations like Fidelity Investments, PepsiCo, Vodafone, and Voya Financial have already recognized the advantages of this partnership, which include enhanced security, compliance, and performance.

In September 2021, Oracle extended its OEM deal with Kaltura, the Video Experience Cloud with millions of active users, by making Kaltura's video content management, live streaming, real-time conferencing, interactive video paths, and visual marketing available across Oracle Cloud. Oracle has been a Kaltura customer since 2012. In 2019, Oracle and Kaltura announced an OEM partnership, which originally utilized Kaltura’s video-on-demand services and is now being extended to leverage all Kaltura media services. With the expansion of the strategic partnership, Cloud customers will be able to manage their on-demand, live, and real-time video content in Oracle’s universal content hub, and enrich that content with Kaltura’s tools.

The move is consistent with Oracle's direction to rely on ecosystem partners like Medallia, Tanium and others to help make OCI easier and cheaper to consume with striking results. In May 2021, Oracle announced it is providing tools, solutions, and support to fuel Arm-based application development. Developers can run Arms-compute instances at only one cent per core hour on OCI. Over the past year, Oracle has signed up a host of ISV startups including Aleph Alpha, Awini, Molecula, NeuralMed, Quant Networks and Snapper Future Tech to help them run different high-performance applications on top of OCI. Aleph Alpha, for example, is training a 13 billion parameter AI model on OCI using Nvidia’s GPUs connected by high-speed networking. A second Aleph Alpha model holds 200 billion parameters.

Much of its ecosystem expansion lies in developers and startups that Oracle is partnering to help sell the Oracle Cloud Infrastructure. After building out its marketplace on OCI, the vendor has attracted many ISVs that are listing their applications that are immediately accessible to customers under universal credit model pricing – meaning that they can run these products on a pay as you go basis.

Another way for Oracle to scale out its ecosystem is through Oracle Cloud free tier that developers can do development and testing work with an autonomous database, compute, storage, load balancing and monitoring, all on OCI under free tier service plan for an unlimited time.

Across its ecosystem, the number of Oracle partners has been rising steadily – now nearing 30,000 mark, compared with 25,000 a few years earlier. Much of the increase was attributed to increased use of Value Added Distributors like Avnet and Arrow that carry both hardware and software products. These VADs can support more resellers than what Oracle or Sun was able to fulfill their needs in the past.

Since 2012 Oracle has successfully upgraded its partners through more rigorous certification programs in 60 specialization areas for its hardware and software products. Hundreds of these specialized partners have been added covering tens of thousands of new Oracle Partner Network product specialists. The majority of Oracle's Cloud Solution Partners have been coming from firms like Accenture and Indian systems integrators. These partners also include Managed Service Providers that offer Cloud hosting support to ISVs. Overall speaking, channel contributions to Oracle's revenues have improved considerably as the vendor aims to drive more indirect sales in markets where it has a limited presence.

Oracle Cloud Infrastructure Insights

Subscribe to read more about:

• Oracle Public Cloud and Infrastructure (IaaS)
• Oracle Platform (PaaS)
• Oracle Application Delivery
• Oracle Private Cloud and Data Centers

Research Methodology

Data used in research reports are derived from publicly available documents, continuous surveys of applications vendors, customers, resellers, Independent Software Vendors, systems integrators and other verifiable sources.

Vendor shares and market forecast results are based on a combination of existing databases as well as demand side and supply side research conducted throughout the year with validation from vendors, customers, channel partners and documentations such as earnings releases and 10Q and 10K filings, vertical industry studies, regional and country-level statistics from public and private institutions(i.e. colleges, universities, government agencies and trade associations).

For additional information on our methodologies, here's the link: