Oracle’s Bare Metal Cloud
In late September 2016, as expected, Oracle (ORCL) launched its 2nd generation of its IaaS (information-as-a-service) offering, Oracle Bare Metal Cloud. As usual, Oracle CEO (chief executive officer) Larry Ellison, known for a boastful attitude, continued to point out how Oracle’s offering is better than Amazon.com’s (AMZN) AWS. Ellison stated: “Our Generation2 IaaS delivers twice the compute, twice the memory, four times the storage and ten times more I/O at a 20% lower price than Amazon Web Services.”
Amazon, not being the one to keep quiet—especially with AWS’s double-digit revenue growth story and dominance in cloud space—retaliated with the announcement of its X-ray vision. Amazon’s AWS revenue rose 55% YoY (year-over-year) to ~$3.2 billion in fiscal 3Q16. X-Ray is a managed offering that enables a customer to scrutinize an application, layer by layer, down to the last piece.
At AWS’s Re-Invent 2016 conference, Amazon Web Services CEO Andy Jassy announced X-ray vision. According to Business Insider, Jassy elaborated on the X-ray vision, stating, “X-Ray vision is the unique ability to have visibility and vision,” and “the ability to see through the hand-waving and bombast.” For a few seconds, Larry Ellison’s image flashed on the screen, indicating the dig Amazon took on Oracle’s CEO.
In its fiscal 1Q17 earnings release, Ellison stated: “Oracle has nearly 2,600 Fusion ERP customers in the Oracle Public Cloud—that’s ten times more cloud ERP customers than Workday.”
Indirectly bringing salesforce.com, which aims to record $10 billion revenue by 2018, into the discussion, Ellison added: “That gives us a fighting chance to be the first cloud company to reach $10 billion in SaaS and PaaS revenue.”