Oracle exec calls Amazon’s cloud model 'unprofitable'
A senior Oracle executive thinks the 'renting hardware' model of cloud computing is unprofitable.
Cloud computing models from companies like Amazon and Google are "unprofitable," according to a senior executive from Oracle.
Thomas Kurian, senior vice president of Oracle Fusion Middleware, said he believed the company's style of cloud computing is not economically viable - but still would not rule it out for Oracle's future.
At the launch of Fusion Middleware (OFM) 11g today, Kurian said: "Amazon is a different player than us. It offers you hardware and space. We don't think the economics of this sector is profitable and we are not focused on just renting hardware."
However when IT PRO asked Kurian to confirm Oracle would not go down this route, he refused.
Oracle's products are cloud compatible and it does offer space in its Texas data centre, but its "cloud strategy," as Kurian referred to it, for now is making compatible products rather than creating a cloud of its own.
The mention of hardware led to many questions surrounding the company's impending acquisition of Sun Microsystems but again, Kurian kept quiet and insisted on questions focused around the launch of OFM.
Sign up today and you will receive a free copy of our Future Focus 2026 report - the leading resource for IT decision-maker insight on priorities and investment areas in AI, security and more.
Jennifer Scott is a former freelance journalist and currently political reporter for Sky News. She has a varied writing history, having started her career at Dennis Publishing, working in various roles across its business technology titles, including ITPro. Jennifer has specialised in a number of areas over the years and has produced a wealth of content for ITPro, focusing largely on data storage, networking, cloud computing, and telecommunications.
Most recently Jennifer has turned her skills to the political sphere and broadcast journalism, where she has worked for the BBC as a political reporter, before moving to Sky News.
-
Apple’s Siri overhaul is a ‘watershed moment’ in its long-awaited AI pushNews The revamped Siri AI could put to rest questions over its lackluster approach to AI, providing it nails the roll-out
-
AMD chief exec Lisa Su touts UK’s AI potential as firm eyes £2bn investmentNews The deal will see a new AI supercomputer built in Cambridge and partnerships with Imperial College London and Oriole Networks
-
AWS CEO Matt Garman is bullish on the future of SaaS — Amazon Quick shows there’s a ‘great business opportunity’ with AI-powered softwareNews Matt Garman said fears over the ‘SaaSpocalypse’ were overblown in February, now AWS is making big moves in the SaaS space
-
CMA launches Microsoft probe amid software licensing concernsNews The regulator hopes to “ensure a level playing field” when it comes to competition in the business software market
-
AWS expands language support for Amazon Q DeveloperNews AWS has expanded support for languages in Amazon Q Developer, making it easier for developers to code in their first language.
-
Redis insists license changes were the “only way to compete with Amazon and Google” — now it could face a user exodusNews Redis sparked controversy when it announced licensing changes in March this year – but the company believes the move was warranted
-
Organizations shift away from Oracle Java as pricing changes biteNews A survey from Azul Systems finds that, along with cost, customers cite a preference for open source and the threat of a Java usage audit
-
Why Java 17 growth is ‘exploding’News Java 17 is now the most popular LTS version, according to application data from New Relic, but what's driving this growth?
-
Everything you need to know about Amazon Q, including features, pricing, and business tiersExplainer Amazon Q can help developers write code faster and help workers with no coding experience build their own generative AI apps
-
Amazon to become Microsoft 365 customer in landmark $1 billion dealNews The Microsoft 365 deal marks a major pivot for Amazon, which has traditionally avoided using rival cloud products
