Software companies Oracle and NetSuite announced an alliance to deliver cloud-based services to mid-size business customers. This is the third tie-up unveiled this week by Oracle.
What is Cloud computing?
Cloud computing is an expression used to describe a variety of different computing concepts. It involves a large number of computers that are interconnected through real -time communication network, mostly the internet. It means the ability to run a program on many interconnected computers at the same time.
In Cloud computing, computers share resources and also maximise the effect of shared resources. These resources are dynamically allocated as per user need.The advantages of Cloud computing include a faster speed, improved manageability. This also avoids upfront infrastructure costs.
High-capacity networks, low-cost computers and storage devices are some of the features of Cloud computing.
Now, that we know what Cloud computing actually means, lets discuss what next to expect from this alliance. The agreement will focus on integrating Oracle’s software for human resources with NetSuite’s services for enterprise resource planning and will be aimed at mid-sized companies, Oracle and NetSuite said.
“You shouldn’t think of this as a date. You should think of this as us continuing to integrate our products closer and closer together,”Oracle president Mark Hurd told analysts and reporters on a conference call.”Think of this almost as rolling thunder as opposed to an event.”
Oracle wants to speed up its move into cloud computing, a fast-growing area of technology where the number 3 software maker has fallen behind smaller rivals selling all-in-one solutions that are less expensive than Oracle’s offerings.
Shares of NetSuite have more than tripled over the past five years, while Oracle’s have gained about 40 percent.
Oracle chief executive Larry Ellison and Salesforce CEO Marc Benioff are due to hold a conference call to outline the details of their new nine-year partnership. Larry Ellison has been a major investor of NetSuite since its inception.
Financial Cloud vendors are experiencing growth rates of 90 percent per annum. Hope this partnership will yield good results for both the companies and of course their customers too.