The top numbers for Oracle’s Q3 FY21 are:
- Revenue up 3% to $10.1 billion
- Operating Income up 10% to $3.9 billion
Within that, the landscape for specific product areas is:
- Cloud services & license support up 5% to $7.3 billion
- Cloud license and on-premises licenses up 4% to $1.3 billion
- Oracle Cloud Infrastructure (OCI) consumption up 123%
Oracle also touted double digit growth in both their Fusion (30%) and NetSuite (24%) Cloud ERP offerings.
Safra Catz, Oracle CEO, said they have some “very large users” coming to OCI soon that will need “significant amounts of capacity” and so Oracle are investing heavily to ensure they can handle all the new consumption.
She also called out that Java on-premises is doing “very well” as companies “continue to invest” in Java – it looks like the licensing changes of recent years are starting to pay off for Oracle.
Oracle predicts its own future
Ellison states that future success for Oracle lies in two areas:
- Autonomous products
It’s clear that Larry Ellison is bullish on Oracle’s ERP offering – “our product is so much better than anyone else’s product in the cloud” – and he said that he expects Oracle will take over 50% of SAP’s customers plus those from other ERP companies too.
For me, pretty much the only person I’ve seen mention Oracle’s Autonomous Database is Larry Ellison, but he sure does like to mention it! Just as he’s been talking up ERP, he’s been doing the same for Autonomous Database:
“we expect it really to explode next year…I really do mean very, very rapid growth. I’m not really ready to disclose … why I think it’s going to suddenly spike but we expect very, very rapid database growth next year”
He sees autonomous products as a driver for Oracle Cloud Infrastructure too – both autonomous database and they also have an autonomous Linux offering too. He sees that removing human error and access as much as possible makes their cloud offering more cost effective and more secure than the other public cloud offerings.
Oracle are really pushing their OCI offering and, if they’re to be believed, are making a strong push for that #3 spot in public cloud providers, behind Amazon & Microsoft.