Mark De's comprehensive exposition of Ellison about the real cloud

How far did Oracle go in cloud computing? This depends only on the semantic differences between the cloud and other implementation patterns.

Earlier this month, Oracle CEO Mark? Mr Hurd said Oracle's SaaS income had reached $1 billion trillion and ranked second in SaaS. Of course the number one still belongs to Salesforce.com, but the company's CEO, Marc Benioff, argues that Oracle's cloud involves only hardware, not real clouds.

Mark？ "I don't know what he's saying, and I don't really care about it," Hurd said. "Then further differentiate between software-service revenue and cloud computing revenue," We have SaaS revenue of 1 billion dollars, and if you ask the revenue of the cloud, it will be even bigger. We have many SaaS companies, all of which are our customers, including Salesforce.com. These customers are using our database, our middleware and our Exadata Database cloud server. Therefore, our cloud revenue is very considerable. ”

Hardware leader

Mark？ Hurd joined Oracle after leaving HP, and it was widely believed that Oracle's hardware business would be opened, and Oracle's involvement in the hardware business began with the acquisition and takeover of Sun. The views of market commentators and analysts on the subject are opinions. But from Mark? Hurd's point of view, he is very satisfied with the company is on the right track ahead.

Mark？ "If you ask how Oracle's hardware business is doing, you need to know a few different latitudes," he explains. Oracle's hardware business is Sun's business, including our OEM products and products without Oracle or sun intellectual property, such as a variety of storage products, this part of the revenue is falling. The Sun server base has also declined slightly, but our integrated design system business has grown rapidly. As a result, the hardware number is comprised of all the above mentioned business totals. ”

Although Oracle has a hardware business, the company has no plans to enter the tablet market – despite Oracle CEO Larry. Mr. Ellison was also one of the first to propose networked computer equipment more than 10 years ago, and last week admitted that the company had considered Oracle phone. Mark？ This does not mean that Oracle has nothing to do with the desktop, but is not interested in producing such devices, Hurd insists.

Mark？ "Everything in our software is ready for the iphone and ipad, but we don't think there is anything worth doing on the device," Hurd explained further. The most important thing for us is to provide good software for the world. If you look at the industry, you'll find that the consumer market is bigger than the corporate market. Now that consumer spending has changed dramatically, the iphone's computing power is even higher than the the 1980s mainframe, which is now being used by children all over the world. ”

Mark？ "We don't reject it consumerism," Hurd added. For example, we have just bought a Taleo company, which manages 15% to 20% of the US talent resume. You can link it to the recruiting system and integrate it with LinkedIn to see all of my core human resources applications that can connect to both consumer applications and commercial applications and work in both environments. ”

Workday factors?

When it comes to human resources, it is inevitable to mention workday, a single business HCM company in the cloud computing field, created by PeopleSoft, the original founder of Oracle's takeover. Critics say workday has grabbed a large chunk of Oracle's business by fusing its next-generation applications to keep increasing the emphasis on HCM so that workday can take Oracle away in this area.

Mark？ "HCM is a cool application that is not driven by any competitor but is determined by the size of the market opportunity," said Hurd. You will see in this customer service area, we are buying RightNow company, also doing the same thing. ”

With the advent of HCM and CRM cloud products, it is tempting to think that cloud ERP suppliers will be the target of future Oracle acquisitions, although NetSuite (founded by Ellison as a personal investment) is not profitable, and according to the chief financial officer of the German giant SAP, this week, SAP itself will not see the profits of cloud applications.

"If you don't really have an ERP cloud, it's hard to make money in the ERP cloud," Hurd shrugged off his views on SAP. "NetSuite is still in the exploratory phase of the growth model. When Larry founded NetSuite, he said everything was internet-based software, and that's where the future lies. Although the words used are slightly different, he is right. He did not use the word SaaS or cloud, but he was right. ”

But if the SaaS company continues to make no money, can it go on? "Salesforce.com didn't make any money," Hurd commented, "They burn the money madly, but not at all." At some point, shareholders question when they can make money. I don't know why people buy shares in a company that can't make money. ”

Back to the issue of ERP cloud, the next acquisition will be related to ERP? Mark？ "We've spent nearly 5 billion dollars on research and development, and from the point of view of our mergers and acquisitions, we are acquiring areas that can complement our research and development," Mr Hurd said cautiously. So the RightNow and Taleo companies we buy are not in our own solutions. You will see the solutions we develop in our accounting and financial integration cloud applications.

The growth of the government's public sector market?

A distinctly growing market is the government's public sector, where clouds are popular and Oracle software is revered.

Earlier this week, there was anecdotal evidence that Oracle had lost its lucrative framework agreement with the US government administration. But Mark? Mr. Hurd clarified the matter and Oracle is working with the public sector market to find a way to drive the cloud. Oracle acquired the RightNow technology company earlier this year and has been named one of the top security ratings for cloud applications.

He explained: "The United States Government has many initiatives to seek more cloud development, Oracle is the U.S. government's application provider, we are actively working to help the Government to do this very meaningful work." At the same time, the U.S. government is very concerned about security issues, and to ensure that the data is absolutely protected, so now we are working together in the private cloud architecture. ”

(Responsible editor: The good of the Legacy)