Oracle Still in Denial

Ellison Acknowledges Trend to Cloud Computing

Larry Ellison, CEO of Oracle Corporation, is slowly beginning to see the light regarding Cloud Computing, but still doesn’t comprehend the implications. In today’s Wall Street Journal, Ellison acknowledges the importance of the trend. He says that Oracle is getting “a little bit” into the space.
This is in stark contrast to Ellison’s comments over the past few years depicting Cloud Computing as “gibberish”, SaaS as unprofitable and multi-tenant architectures as insecure.
Fusion Isn’t the Answer
While nuclear fusion may eventually be the answer to the world’s energy needs, Oracle’s long-awaited Fusion products will never be the answer to the needs of manufacturers. Ellison seems to cling to the notion that customers won’t trust SaaS vendors with their data. His answer is for Oracle to operate a data center owned by the customers. This sounds like the failed ASP model to me. It does not take cost or complexity out of the vendor-customer relationship. It does not speed time to market for features customers really need. It perpetuates nearly all the same problems that are driving customers to true SaaS models at a very rapid pace.

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