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Oracle revealed its latest strategy in China: data center + service cross-border e-commerce

via:钛媒体     time:2022/1/27 9:01:15     readed:127


Oracle (ORCL) recently unveiled a new strategy in China. This enterprise software company from the United States began to high-profile years ago to announce the transition to the cloud, before this, Oracle's main business is database, after the transition to the cloud oracle entered the public cloud market, has been regarded by the media as "challenge" AWS and other cloud computing service providers.

What are the facts? After the dust settles, looking back at Oracle's cloud transformation strategy over the years, the company's strategic direction, especially for the development of business in China, has also been the latest clear plan.

Focus on two areas: data center + cross-border e-commerce

After years of growth, Oracle's cloud revenue stood at more than 25% of its total revenue in the last quarter it disclosed. Oracle's cloud business, from SaaS to IaaS, is expected to generate nearly $11 billion in revenue by the end of FY22. Li Hanzhang, senior vice president and Managing Director of Oracle Asia, said that the rapid growth of Cloud business continues, mainly from ERP in SaaS, another is OCI (Oracle Cloud Infrastructure) in IaaS layer.

This achievement is inseparable from Oracle's increasingly focused cloud strategy. "The cloud itself is a very big space, growing every day," says Mr Li. So for Oracle, we focus and select areas to help our customers continue to grow."

The two areas oracle has chosen to focus its firepower on,One is to empower enterprises through data center; Another is to help Chinese companies go overseas, such as cross-border e-commerce

In terms of data middleware, Oracle mainly offers two technologies,One is a proprietary cloud machine, and the other is an autonomous database"This has to do with Oracle's DNA in data management and the market's expectation of using the data center. "A lot of customers today talk about using the cloud, but they still want some core applications, including data integration through proprietary clouds."

Two years ago, data center began to become a hot concept in China, and the industry has mixed opinions on it. Until later, when it comes to "data center", the color changed, and enterprises began to seek the return of value strongly associated with business. Is there a risk that Oracle will not be recognized by customers for anchoring data at this time? Li Hanzhang said in the communication that Oracle's data center and bottom layer is the technology of integration of lake and warehouse, which can not run into layer applications and only do data management, so that the construction of data center will not become a never-ending, never-ending risk.

In terms of helping Chinese enterprises go overseas, Oracle mainly provides global public cloud deployment. In addition to the advantages of price and global data compliance, Oracle provides two engines, autonomous database and open source database MySQL. In overseas business deployment, overseas enterprises generally use the combination of private cloud and public cloud, so oracle public cloud can use the same database products as private cloud. Some enterprises prefer to choose the open source database MySQL. For customers with such requirements, Oracle will provide MySQL+HeatWave solution, which helps enterprises support both transactional and analytical business scenarios with a single database. This is different from MySQL provided by AWS and Ali Cloud.

"We will also help cross-border e-commerce enterprises set up independent websites. These enterprises often rely on channels like Amazon to do business in the beginning, so that customer information naturally belongs to the platform rather than their own. "Facing consumers directly is the first step in the long-term development of cross-border e-commerce companies." Li Hanzhang said.

But in addition to data-related services like databases, Oracle has made acquisitions to strengthen its cloud capabilities. "We've acquired over 120 companies in the last 15 years, and the vast majority of our acquisitions in the last three to five years have been cloud-related," oracle says. "Oracle's overall strategy is to accelerate our capabilities in the cloud by developing capabilities that enrich our products, so that's done through acquisitions." A case in point is that in the same year as Oracle's cloud strategic transformation plan, Oracle spent $9.3 billion to acquire cloud ERP software NetSuite, which has become one of Oracle's two important ERP products.

Challenges and opportunities coexist, and multiple models will be launched in 2021 service

Looking back to 2021, Li Hanzhang summed up the whole cloud computing market with "challenges and opportunities coexist". More and more industries and enterprises began to re-examine their digital transformation, and to truly embrace "cloud" and "data" was what he felt the most. At the same time, he believes, the industry is becoming more rational, and the discussion will focus more on true transformation and intelligence, and whether technology can help companies and industries achieve profits and market goals. He is happy to see the era of "data lifecycle management" coming, which will further leverage oracle's strengths and innovative capabilities in the "data" space.

"At the end of the day, companies are realizing that data is the working capital of a modern company, regardless of the industry, market change or new approach, and the key to being able to make the best decisions and meet the challenges is data management, data analytics and decision making." Li Hanzhang said.

The data is oracle's DNA, and based on that,In early 2021, Oracle released the latest version of Oracle Database 21C, the world's leading converged database. Not only does it contain more than 200 new innovations, but unlike other comparable databases in cloud or on-premise deployment environments, Oracle Database 21C is based on a unified modern converged database engine to meet multi-model, multi-load, and multi-tenant requirements

Oracle has since released MySQL Autopilot, a component of the MySQL Heatwave service that provides nine machine learning-based automation capabilities to further improve the performance and scalability of the MySQL Heatwave service. MySQL Heatwave has advanced automation capabilities that are not available from any other cloud provider.

It is estimated that by the end of 2022, Oracle will have 44 data centers around the world, which can provide customers with business information security and data security in different regions and countries, so that customers who are expanding into the market can do business without worry. In the future, Oracle will focus on technological advantages and changing customer needs, and work closely with partners to provide more advanced technologies, technology concepts and value-added services to domestic and overseas customers, contributing to the high-quality development of the new economy in the Chinese market.

Finally, Li also mentioned a big trend in 2022 that will be the focus of many tech companies in the future -- this trend is"Sustainable development". According to Oracle's Retail At the Turning Point: Consumer Research 2021 report released this year, a whopping 84 percent of Chinese millennials (25-39 years old) respondents believe it is important for a store's brand values (e.g., sustainability, ethical sourcing) to align with their personal values.

At present, China has set the goal of "carbon peak by 2030 and carbon neutral by 2060". In this context, many enterprises have looked at the future development direction from the perspective of sustainable development, and technology is an important booster to achieve the goal. Therefore, Li hanzhang judged that in 2022, it is imperative for companies to formulate and implement a comprehensive sustainable development strategy. But it is also a difficult task that requires a high level of management attention. Oracle has pledged to make all cloud areas powered by its infrastructure and application servers 100% renewable by 2025. At the same time, Oracle is requiring all major suppliers (both direct production and indirect procurement) to develop environmental plans by 2025 that include emission reduction targets.

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