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Converged Infrastructure: A Trend Poised To Drive Growth

by Amit Malhotra, Head-Systems Business, Oracle October-2015

Oracle(NYSE:ORCL), headquartered in California, is a provider of optimized and integrated stack of business hardware and software systems. The company currently has a market cap of $184.17 Billion.

one of the major trends driving growth in the enterprise IT market is engineered systems,also called converged infrastructure. All hardware and software is designed together to create highly optimized systems. Earlier, a company would buy hardware bits from different vendors and software from another set of vendors and stumble on someone to put it all together so that all the different pieces coordinate and work as one. Today's ready-made systems from vendors like Oracle, drastically trim down the implementation time and costs. The open source revolution is a great shift and when applied to hardware can open new doors of innovation without having to go through the cumbersome process of license approval.

Clubbing new horizons in technology, the adoption of flash technology seems to be the white-hot upcoming trend and a part of raging talks on technology in the year 2014, even though till now it has been prohibitively expensive. The flash market will see increased growth as the enterprise storage companies have given the green light in this regard. The reason why this technology is fast looming up is because flash drives are basically faster accessing devices as compared to traditional fiber channel drives. Industry experts and reports suggest that by 2018 flash storage will become cheaper than high-end disks.

Oracle designs engineered system intended to shrink the cost and complexity of IT. Challenges always play a vital role in strengthening the progress and amplifying the development process. Organizations are experiencing unprecedented growth in data volume, variety, and velocity. CIOs are increasingly relying on focused IT solutions to generate value by adapting some humble yet agile measures. They constantly address their most pressing business challenges and try to manage as well as extract business insight and take small steps of revamping customer service. Capitalizing on new business opportunities also forms an additional part in the line-up.

According to an Oracle survey, 94 percent of C-level executives say their organizations are collecting and managing more business information today than they did two years ago. Organizations sometimes miss significant revenue opportunities by failing to optimize data management and analytics. CIOs must invest in the applications and systems that enable them to turn increasing amounts of data into intelligence and strategic insight—or plunge into the data flood with a threat of getting void.

Oracle Database In-Memory Option simplifies development and management, curtails the cost by purging the need for separate databases and data structures that have been required to pull off good analytic performance.

Swinging across the commoditization trend, companies craft ways to integrate either hybrid partnerships or play partnership. The commoditization of the hardware is a misnomer. The obvious focus of the CXOs today, is the business outcome. The CXOs today leer at the value being delivered through the IT to their businesses. At Oracle, we have been focused on delivering the same to customer. We have unprecedented advantage over the competitors as we own the Apps to Disk IP.

Strolling on the lane of advancement we stumble upon various aids in the hardware sector today. Exadate, Exalogic, Super cluster, database appliances and many more in the same list.

Oracle’s system business has seen significant growth in the last two quarters. In the six months in fiscal 2014, revenues from the software and hardware integrated ‘Engineered Systems’ have outlined strong growth including Exadata and SPARC SuperClusters. We witnessed neat growth in engineered system product sales.

India has astoundingly done well for us. After some initial tangles, Oracle’s Exa revenue growth is seen to mitigate the headwinds in the high-end server market.

When you have technology as your backbone you have the guts to wrestle with your competitor. The company has continued to invest in R&D for years now and the results have now begun to show with great momentum in this business. We at Oracle optimize at every layer of the stack to simplify data center operations, drive down costs, and accelerate business innovation. Excellence is a promise we give as a token of trust to our customers.