Question: Please use the following Case Analysis Methodology to evaluate the following Case Study:How Larry Ellison and Oracle Plan to Win the Cloud WarsLarry Ellison is
Please use the following Case Analysis Methodology to evaluate the following Case Study:How Larry Ellison and Oracle Plan to Win the Cloud WarsLarry Ellison is an American businessperson and is one of the wealthiest people in the world. He is chairperson, chief technology officer, and cofounder of Oracle, an integrated cloud applications and platform services company based in Austin, Texas. The company sells cloudbased tools to store and analyze data and information as well as software, hardware, and other technology applications. The company was founded in after Ellison discovered there was a growing need for database management systems. Just two years later, the company introduced its own database management system, finally answering the question of how technology could help companies manage large amounts of data and information.Oracle has always had a reputation for introducing new products before competitors. It developed the first clientserver database, the first media server to support video on demand, and the first internet development suite, among others. The companys goal has always been to help its business customers collect, store, update, process, and present datathe five management information system functions described in this chapter. Now, according to Ellison, Oracles databases manage most of the worlds data with more than customers in countries. We are the dominant database supplier on the planet Earth, Ellison said on a recent earnings call. He went on to say, were bigger than IBM and Microsoft combined when it comes to total database revenues.Oracle competes with companies such as technology giants IBM, Microsoft, and Amazon Web Service AWS which offer similar cloud databases and other cloudbased services. Though Oracle admittedly took longer than its competitors to take its database to the cloud, Ellison believes its systems are now more secure and more affordable than other available systems. In fact, Ellison plans to win the cloud wars by competing on price, quality, and security.Lower pricing for Oracles products that are recognized for quality helps Oracle win new customers. According to Oracle, its cloud infrastructure, for example, is consistently less expensive than Amazon Web Services. The method used to price some products also helps Oracle win new customers. Customers who use Oracles FastConnect infrastructure, which transfers information from customer data centers to the cloud through private connections, pay fixed monthly charges. The fixed charge means that their customers have a predictable monthly bill compared to AWS customers who are billed based on data transfer activity.To keep a leg up on the competition, Oracle invests heavily in research and development R&D which generates worldclass technologies. The company has spent $ billion on R&D since and an additional $ billion on acquisitions of companies that had promising ideas or products that fit with Oracles product mix. Its R&D activities are constantly finding ways to introduce new or improve existing products that can satisfy customer needs. For instance, Oracle created the worlds first autonomous database. The product, Oracle Autonomous Linux, serves to reduce maintenance and downtime and at the same time increase security. Before Oracles new product was introduced, companies that attempted to take their large workloads to the cloud experienced high costs and security concerns. When Oracle Autonomous Linux was introduced, the company had thousands of customers waiting in the wings for the product to be deployed in addition to thousands more who signed up for product demonstrations.The company has also made significant investments in security all the way down to the chip level to reduce concerns of advanced and persistent threats that use sophisticated hacking techniques to steal data. Its products have layered security defenses and controls such as security zones, data encryption, and firewalls. This securityfirst approach builds trust among Oracle customers. One of the major selling points of its autonomous database is that it eliminates human error while improving cybersecurity.A culture of innovation has fueled Oracle since day one. Ellison is competitive by nature and will do what it takes to build the best cloud management system and technology products possible. Introducing new and innovative products that are recognized for their quality, pricing its products competitively, and taking a securityfirst approach make Oracle a leader in cloud computing.
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