Oracle unveils new cloud programmes to challenge AWS prices

Oracle has announced a range of new cloud programmes with increased automation and flexibility capabilities, that claim to lower costs and enable customers to get more value from their existing Oracle software investments. 

Larry Ellison

The new programmes include Bring Your Own License to PaaS and Universal Credits.

Executive chairman of the Board and CTO Larry Ellison said, “We are completely transforming the way all companies buy and use cloud by providing flexibility and choice. Today, we combined the lowest prices with the highest performance and more automation to deliver a lower total cost of ownership for our customers.”

Ellison is also promising to match AWS list prices for IaaS with better performance. He said Oracle is aiming to get to a point “where we can guarantee that if you move a workload from Amazon to Oracle, your bill will drop by 50 percent.”

While organisations are eager to move to the cloud, many have not due to obstacles that have forced them to choose between flexibility and lower costs. They have been challenged by the complexity of the cloud and the inability to re-balance spend across different services. Organisations have also been constrained by limited visibility and control over cloud spend.

Oracle’s new cloud programmes hope to address customers’ cloud adoption challenges by improving and simplifying the way they purchase and consume cloud services.

One part of this strategy has been demonstrated by the company introducing a buying and consumption model for cloud services, known as Universal Credits. With Universal Credits, customers have one contract that provides unlimited and on-demand access to all services, plus the benefit of the lower cost of pre-paid services. What’s more, they will have the flexibility to upgrade, expand or move services across data centres based on their requirements.

The second part of the strategy involves customers being able to bring their own licence to PaaS. Currently, customers are able to bring their on-premises licenses to Oracle IaaS, but the company is now expanding the offering by enabling customers to reuse their existing software licenses for Oracle PaaS, including Oracle Database, Oracle Middleware, Oracle Analytics, and others.

Customers with existing on-premises licenses can now leverage that investment to use Oracle Database Cloud at a fraction of the old PaaS price. Ellison also claimed that running Oracle Database on Oracle IaaS is faster and offers more features than Amazon, and claims the programme will deliver the industry’s lowest total cost of ownership.

Both Universal Credits and Bring Your Own License to PaaS will be available on September 25, 2017. These programmes span Oracle Cloud and Oracle Cloud at Customer.

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