On 14 September 2023, Oracle CEO Larry Ellison visited Microsoft Headquarters for the first time and announced that both firms were expanding their partnership.
He was in town to make an announcement about an expansion of the partnership between his company and Microsoft CEO Satya Nadella. Oracle is putting its Exadata hardware, which includes servers for databases and storage, inside the data centers that Microsoft uses to run its Azure public-cloud service for hosting applications.
Oracle Database and Microsoft’s SQL Server have historically engaged in direct competition in the database business, and in more recent years, the two firms have also entered the cloud market as rivals.
“It was lovely to come up here, said Ellison in a virtual presentation on the announcement, which he teased on Oracle’s earnings call with analysts on Monday. “It’s actually my first time in Redmond. It’s hard to believe. I waited till very late in my career to make this trip.”
“When I first came to Microsoft, the first week, they asked me to sort of get ISVs onto Windows NT at that time,” Nadella said. “I said, ‘There’s no way we can get ISVs onto Windows NT first without getting Oracle onto Windows NT.’”
The expansion of the partnership announced on September 14 is a sign of the growing cooperation between the two companies. It is also a sign of the increasing demand for cloud computing services.
Ellison’s trip to Microsoft headquarters is a historic event. It is a sign of the changing landscape of the tech industry and the growing importance of cloud computing.
Analysing the current dynamics in the database world, Oracle has loosing alot of its customer to the cloud. I think that is why Oracle was encouraging its customers to run its database on Azure cloud. Oracle cloud has not really garnered the desired attention it seek. I guess its a good thing to note in business that sometimes you might need to collaborate when you are loosing in the competition.
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