Microsoft and Oracle Collaborate to Deal with Nimbler Rivals in the Cloud Market

26 Jun. 2013 Enterprise Tech News

Microsoft, on Monday, announced collaboration with its long-time rival Oracle, which is seen by many as an important step to fend off the new comers in the industry.

Long-time rivals, Microsoft and Oracle, have now set out to deal with the threat to their core businesses from younger companies like Salesforce and Workday. Microsoft announced on Monday that it will offer Oracle’s Database, Java and WebLogic Server to its Azure customers.

Although these two companies have collaborated behind the scenes up till now in order to meet their customers’ needs, they now think that an open collaboration would probably prove better.

As Steve Ballmer, Microsoft Chief Executive, puts forth, “In the world of cloud computing, I think behind-the-scenes collaboration is not enough.” Though the step is looked upon as an important step by the two tech giants, it is hardly likely to solve their cloud challenges.

Microsoft and Oracle Collaborate

According to Daniel Ives, an analyst at investment bank FBR, the fact that these two historical rivals have now joined hands only shows how big an opportunity cloud is. It also depicts the tech giants’ seriousness towards their cloud endeavors. He also believes that the cloud can open up great potential avenues of growth down the road.

Under the agreement, Microsoft said that its users will be able to run the Oracle software on Microsoft’s Server Hyper-V as well as on the Windows Azure platforms. Many younger companies, such as Salesforce.com and Amazon.com have made it tough for these two tech giants to survive in the cloud market. This can be attributed as a major driving factor behind this collaboration.

The users of Microsoft and Oracle, are however at an advantage, and will now have a new opportunity to experience their respective products in a different manner.

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