Oracle enters a shrinking market. Welcome to the world of IaaS.

When Oracle started to make some of its products available on Azure I thought it was a clever move.   Oracle had been available on AWS for a while.  It made sense to have a presence on the two big platforms.  Their latest move is taking some time to digest.  They have decided to go head to head with AWS and Microsoft … this might end badly.

Over the last few years we have seen some big players with deep pockets conceding the IaaS space to AWS and Microsoft.  Rackspace went back to their roots and HP have abandoned Helion.  So what are Oracle thinking?  To compete in this space there has to be come sort of competitive advantage: exclusivity, functionality and/or price perhaps.  Do they have anything different to offer?  Oracle have admitted that their offering includes “more or less generic” stuff you would expect.  This raises two big questions:

  1. “Why would I switch if what you are offering is generic?”
  2. “If I switch will you still be trading in this space next year?”

The only reason I can think of for this move is that Oracle are not getting the traction they want with big enterprise on AWS and/or Azure.  Maybe they want to take the direct approach and take their own destiny in their hands?

Lets hope they have very, very deep pockets.

This post from sheds more light on the announcement:

Here is more info direct from the horses mouth:

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