Oracle Cloud Infrastructure’s (OCI) India unit expects growth in triple digits for the next couple of years. Oracle is showing strong growth in its cloud business in India due to digital innovation in the banking, financial services, and insurance (BFSI) sector, public sector initiatives, and small and medium businesses (SMBs). According to Oracle, its Cloud will enable banks to reduce costs by up to 50% compared to other cloud providers by reducing reliance on data center infrastructure, minimizing costs, and maximizing value by matching capacity with business demand.
Oracle identifies the financial sector as a huge opportunity for growth due to its competitive landscape, customer base, and matured micro payments systems along with the public sector due to the need for reducing costs and extending efficient services.
Shailender Kumar, senior vice president, and regional managing director, Oracle India, and NetSuite JAPAC said, “Oracle India is on a massive growth drive. With our unmatched portfolio of cloud solutions across technology and applications, along with our partners – our customers have the choice they need, to support their business growth and digital evolution. Oracle Cloud Infrastructure (OCI) and Software as a Service (SaaS) are driving some of India’s milestone projects and the opportunity to do more is immense.”
Oracle is making use of its partner ecosystem to tap into the growing opportunities in India. During the Oracle India Partner Kickoff 2022 held in Goa, Oracle announced new strategies to work more closely with its partners to accelerate digitization for its 15,000 customers in the country.
Talking about how Oracle is growing its SaaS and OCI business with the support of its existing and new cloud partners, Lalit Malik, Group Vice President, Alliances and Channels, Asia Pacific, said, “Today, 70 percent of Oracle cloud business is contributing by our channel ecosystems. Overall, Oracle has 3000 global partners of which over 500 partners are in India.”
Oracle’s India business has been driving growth for the company with the OCI unit recording over 100% growth for the third consecutive year in succession and the software-as-a-service (SaaS) business also grew more than double for each of the last two years.
Recently, Oracle and Microsoft announced the general availability of Oracle Database Service for Microsoft Azure. This new offering will enable Microsoft Azure customers to easily provision, access, and monitor enterprise-grade Oracle Database services in Oracle Cloud Infrastructure (OCI) with a familiar experience.
Oracle’s global cloud business grew by 22% in constant currency to $2.9 billion when the fiscal fourth quarter ended on 31 May 2022. Infrastructure cloud (IaaS) revenues went up by 39% in constant currency to $792 million and Fusion ERP cloud (SaaS) revenues were $569 million, up by 23% in constant currency. NetSuite ERP cloud (SaaS) revenues also went up to $574 million which is an increase of 30% in constant currency. Other SaaS revenues were $955 million, a growth of 7% in constant currency.
Recently, leading cloud service providers like IBM, Google and Microsoft had credited their cloud services for leading revenue growth during the last 12 months.