Oracle disclosed its latest strategy in China: data in taiwan + service cross-border e-commerce

What are the facts? After the dust settles, looking back at Oracle's cloud transformation strategy over the years, the company's strategic direction, especially for the development of business in China, has also been clearly planned.

Focus on two areas: data in the middle of the + cross-border e-commerce

In the last quarter of Oracle's disclosed financial report, after years of development, Oracle's cloud business revenue has stood at more than 25% of the entire revenue. Revenue from Oracle's cloud business, including SaaS to IaaS, is expected to reach nearly $11 billion by the end of FY22. Li Hanzhang, senior vice president and managing director of Oracle Asia, said that the continued rapid growth of the cloud business is mainly due to erP in SaaS, and the other is OCI (Oracle Cloud Infrastructure, Oracle Cloud Infrastructure) at the IaaS layer.

This achievement is inseparable from Oracle's gradual focus on the cloud strategy. Li Hanzhang said: "The cloud itself is a very large field, growing every day. So for Oracle, we will focus and select some areas to help customers continue to develop better. ”

Oracle's two areas of focus are empowering companies through data middle offices, and helping Chinese companies go global, such as cross-border e-commerce.

In terms of data middle office, Oracle mainly provides two technologies, one is a proprietary cloud all-in-one machine, and the other is an autonomous database, which is related to Oracle's long-term genes in data management and the market's expectations for the use of data middle office. "A lot of customers are talking about the cloud today, but they still want to do some core applications (using the cloud), including some data integration through the private cloud."

Two years ago, the data middle office began to become a relatively hot concept in China, and the industry praised it with mixed reviews, until later talking about the "data middle office" discoloration, enterprises began to seek a value return with a strong relationship with the business. Is there a risk that Oracle anchors the data midway track at this time not being recognized by customers? Li Hanzhang said in the exchange that the bottom layer of Oracle's data center is the technology of Lake Warehouse integration, which can be done without touching the upper application and only doing data management, so that the construction of the data center will not become a never-ending, never-result risk item.

In terms of helping Chinese companies go global, Oracle mainly provides global public cloud deployments. In addition to the advantages of price and global data compliance, Oracle provides two major engines: autonomous database and open source database MySQL. When deploying overseas business, overseas enterprises generally use a combination of private cloud and public cloud, so the same database products as the private cloud can be used in the Oracle public cloud. For customers with this part of the need, Oracle will provide MySQL+HeatWave solutions, which helps enterprises support transactional and analytical business scenarios in a single database situation, which is different from mySQL provided by AWS, Alibaba Cloud, etc.

"We will also help cross-border e-commerce companies to establish independent stations, and these companies often rely on channels such as Amazon to do business at the beginning, so that customer information naturally belongs to the platform rather than to themselves." Independent stations face consumers directly, which is the first step in the long-term development of cross-border e-commerce enterprises. Li Hanzhang said.

However, in addition to data-related services such as databases, Oracle has strengthened its cloud strength through mergers and acquisitions. Oracle also made no secret of this, "In the past 15 years, we have acquired more than 120 companies, and in the last three or five years, most of the mergers and acquisitions have been cloud-related." Oracle's overall strategy is to enrich our product capabilities through R&D while accelerating our capabilities in the cloud, so it's achieved through mergers and acquisitions. A classic example is oracle spending $9.3 billion on the acquisition of cloud ERP software NetSuite, which has become one of Oracle's two most important ERP products, in the same year of Oracle's cloud strategic transformation plan.

Challenges and opportunities coexist, and a variety of services will be launched in 2021

Looking back at 2021, Li Hanzhang used "challenges and opportunities coexisting" to summarize the entire cloud computing market, more and more industries and enterprises began to re-examine their own digital transformation, and truly embracing "cloud" and "data" is the thing he feels most deeply. At the same time, he believes that the industry has become more rational, and the scope of industry discussion will focus more on real transformation and intelligence, and whether it can use the power of science and technology to help enterprises and industries obtain benefits and achieve market goals. He is pleased to see that the era of "data lifecycle management" has arrived, which can further enhance the advantages and innovation capabilities of Oracle that is deeply rooted in the field of "data".

"At the end of the day, companies are aware that no matter what kind of industry, what kind of market changes or new ways of pioneering, data is the working capital of modern enterprises, and the key to being able to strategize and meet challenges is closely related to data management, data analysis and decision-making." Li Hanzhang said.

Based on the fact that the data is Oracle's gene, oracle released the latest version of Oracle Database 21c, the world's leading fusion database, in early 2021. Not only does it contain more than 200 new innovations, but unlike other comparable databases in the cloud or on-premises environments, Oracle Database 21c addresses multi-model, multi-load, and multi-tenant requirements based on a unified, modern, converged database engine.

Oracle then launched MySQL Autopilot, a component of the MySQL Heatwave service, which provides 9 machine learning-based automation capabilities, further improving the performance and scalability of the MySQL Heatwave service. MySQL Heatwave has advanced automation capabilities that no other cloud vendor has.

It is expected that by the end of 2022, Oracle will have 44 data centers around the world, which can provide guarantees for customers' business information security and data security in different regions and countries, so that customers who open up markets can do business without worry. In the future, Oracle will focus on technological advantages and changing customer needs, work with partners to provide more advanced technologies, technical concepts and value-added services for domestic and overseas customers, and contribute to the high-quality development of the new economy in the Chinese market.

Finally, Li Hanzhang also mentioned a megatrend in 2022, which will be the focus of investment by many technology companies in the future – this trend is "sustainable development". According to Oracle's "Retail: Consumer Research Report 2021", released this year, up to 84% of Chinese millennials (aged 25-39) believe that it is important for merchants to align their brand values (e.g., sustainability, ethical sourcing codes) with their personal values.

At present, China has set the goal of "achieving carbon peaking by 2030 and carbon neutrality by 2060". In this context, many companies have looked at the future direction of development from a sustainable perspective, and technology is an important booster to achieve their goals. Therefore, Li Hanzhang judged that in 2022, it is incumbent on enterprises to formulate and implement a comprehensive sustainable development strategy. But it is also a difficult task that requires the high attention of corporate management. Oracle has committed to 100 percent renewable energy in all cloud regions powered by its infrastructure and application servers by 2025. At the same time, Oracle requires all major suppliers, including direct production and indirect procurement, to have environmental plans that include emission reduction targets by 2025. (This article was first published on the Titanium Media App, and the author |.) Qin Conghui)