Oracle just revealed how it plans to retake the cloud computing market from Amazon Web Services (AWS), and according to the database giant’s executive chairman and CTO Larry Ellison, AWS better be ready.
“Amazon’s lead is over. Amazon’s going to have serious competition going forward,” Ellison told an audience at Oracle’s OpenWorld conference last week.
Oracle used the OpenWorld conference to unveil its Generation 2 cloud infrastructure. The Generation 2 offering is an Infrastructure-as-as-Service (IaaS) solution promised to be up to 105 times faster than Amazon’s cloud product.
To learn more about Oracle’s new IaaS offering and what it means for the cloud computing market at large, read the full article from Newsweek.
So the question is, should AWS be worried? Maybe. Maybe not. Oracle gains the opportunity to cash-in on additional revenue by offering its on-premises customers a cloud-based database solution. However, it’s possible the Generation 2 cloud offering is more of an effort to help Oracle curb turnover within its customer base and wouldn’t end up threatening AWS’ market share too much.
On a larger scale, increased competition in the cloud computing market could lead to lower prices and better margins for customers across the industry. The competition spike is also another indicator of how providers are adapting to growing demand for cloud-based solutions – the Colt Group is another provider that has adapted its strategy to meet its customers’ cloud requirements. If heightened competition between Oracle and AWS means anything, it means a more major providers will enter the cloud computing fray in an effort to capitalize on new opportunities.
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