Technology major Oracle Corp. launched its second cloud data centre in Hyderabad to support the increased customer demand for enterprise cloud services. This is in line with the Oracle’s global plan to operate 36 “second generation” cloud data centres or regions by the end of 2020.
In 2019, Oracle launched its Mumbai cloud region, making India its latest country with multiple cloud regions available. India has now joined US, Canada, Japan, Australia, South Korea, and the European Union in having multiple Oracle Cloud regions that enable better disaster recovery strategies.
“Hyderabad’s data centre launch is part of Oracle’s dual-region strategy. Both our Mumbai and Hyderabad are second generation cloud regions, helping our customers meet India’s stringent requirements for data privacy and residency,” said Mr Shailender Kumar, regional managing director, Oracle India.
“It is aimed at enabling customers to comply with local data-related regulatory compliances and address operational issues related with operating in multiple countries. Also, customers get an unmatched BCP (business continuity planning) environment spanning two different seismic zones, inter-connected by low-latency Oracle backbone,” Mr Kumar said.
Despite of increase in its growth, both globally and in India, Oracle is believed to be a late entrant to the cloud business. Its cloud services and licence support revenues grew 1 per cent y-o-y to US$ 6.8 billion even as total revenues declined 6 per cent y-o-y to US$ 10.4 billion for the fourth quarter ended 31 May 2020. Oracle follows the June-May fiscal year.
As per the company, India has been the “best performing” region for Oracle within Japan and Asia-Pacific region consecutively for the last four years. “We have been clocking double digit growth for the last 5 years, doubling our overall customer base from 7,500 to 15,000 in the same timeframe,” Mr Kumar said.
Oracle has signed up a five-year contract with leading non-banking financial company Manappuram Finance Ltd to deliver its cloud solutions earlier this year. “With Oracle Cloud, we will gain 2-3x performance improvements over the next 5 years vis-à-vis our current IT setup, while also unlocking 30-40 per cent additional cost savings,” said Mr Raveendrababu BN, executive director, Manappuram Finance.
The company is also providing help to enterprises in India through artificial intelligence (AI)-enabled digital assistants in their core business processes. For example, Bajaj Electricals is using ‘Bajaj Paddy’, an AI chatbot to transform its customer interactions, said Mr Suhas Uliyar, vice president-Digital Assistant, AI & Integration, Oracle.
“Most importantly, there are no privacy issues and we can easily comply with the country regulations. All the data resides with our customers and we are not using customers’ data to train our models,” Mr Uliyar said.