Oracle’s CTO Larry Ellison has bragged about the company’s business with Amazon. But those bragging rights may be coming to an end. Amazon plans to move completely off Oracle software by early 2020, according to unnamed sources who spoke with CNBC.
Back in December 2017, Ellison said Amazon paid Oracle about $50 million during Oracle’s most recent quarter to buy Oracle database and other technology. But by January 2018, reports surfaced that Amazon was moving workloads to its own databases as a strategy to disengage from Oracle.
Now, according to CNBC, Amazon has already moved much of its infrastructure internally to Amazon Web Services (AWS) and plans to be completely off Oracle’s database software by the first quarter of 2020.
Adding insult to injury, AWS’ foray into data center technology poses a competitive threat to Oracle. AWS introduced its Aurora relational database service in 2014. And it’s garnered some big customers for Aurora, including Expedia, GE, and Verizon.
Oracle has continuously boosted its own database capabilities. In September 2017, it introduced its totally automated, self-driving database.
Amazon’s Ascension
Meanwhile, Oracle has struggled to play in the big leagues with its cloud business. Synergy Research recently ranked it among the “strong niche players.” Oracle now bundles together figures when reporting its software-as-a-service (SaaS), platform-as-a-service (PaaS), and infrastructure-as-a-service (IaaS) revenues, which some interpreted as a scheme to obfuscate its lack of cloud revenue growth.
For its part, AWS once again posted staggering earnings in its most recent quarter with $6.1 billion in second-quarter revenues, a 49-percent increase from the previous year.
And AWS may even be working on a white box switch to help enterprises move more of their workloads from their private data centers to the AWS cloud.
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