Welcome to the Cloud Wars Minute — your daily news and commentary show, hosted by Cloud Wars Founder Bob Evans. Each episode provides insights and perspectives around the “reimagination machine” that is the Cloud.
In this Cloud Wars Minute, Bob Evans explains why — and how — Oracle is the fourth company to join the “hyperscaler club.”
00:22 — For a long time, the three hyperscalers have been AWS, Microsoft, and Google Cloud. Bob suggests that Oracle has “hammered” its way into the group, despite its cloud business being much smaller.
01:15 — A few years ago, Oracle set out — during a time without a cloud infrastructure business — to join these three multi-trillion dollar cloud companies.
01:50 — Oracle’s momentum can be attributed to the many customers it has won. Additionally, on the most recent earnings call, chairman and CTO Larry Ellison said that over 10 generative AI firms have collectively committed $2 billion in contracts to Oracle Cloud Infrastructure (OCI).
03:09 — On the same earnings call, CEO Safra Catz said that from fiscal year 2022 to fiscal year 2023, Oracle’s cloud infrastructure growth rate had doubled.
03:42 — Three other details that Catz shared on the earnings call:
- Consumption revenue for OCI was up 112% in the most recent quarter
- Consumption revenue for Cloud@Customer was up 60% in the most recent quarter
- Consumption revenue for Autonomous Database was up 47% in the most recent quarter
04:14 — Due to these reasons, Bob suggests that Oracle should be thought of as the fourth hyperscaler.