Larry Ellison Doubles Down on Oracle Cloud Claims: Faster & Cheaper Than AWS

Oracle’s outspoken co-founder and CTO Larry Ellison has reignited the cloud infrastructure rivalry, making bold claims about Oracle Cloud’s superiority over Amazon Web Services (AWS) in performance and cost efficiency.

Oracle’s Cloud Growth Amidst AWS Criticism

In Oracle’s recent quarterly earnings statement, the company reported:

  • $1.2 billion in total cloud revenue (62% YoY growth)
  • $178 million from cloud infrastructure services (17% YoY growth)

Ellison didn’t miss the opportunity to contrast this with AWS:

“Our new Gen2 IaaS is both faster and lower cost than Amazon Web Services. And now our biggest customers can run their largest and most demanding Oracle database workloads in the Oracle Cloud — something that is absolutely impossible to do in the Amazon Cloud.”

The Ongoing Cloud Infrastructure Battle

This isn’t Ellison’s first salvo against AWS. At September’s OpenWorld conference, he declared AWS’s market lead “over,” despite contrary evidence:

  • AWS Q4 2016 Revenue: $3.53 billion (47% YoY growth)
  • Microsoft Azure 2016 Revenue: Estimated $2.7 billion
  • Azure Recent Growth: 93% increase in most recent quarter

Market Response

Investors responded positively to Oracle’s earnings:

  • Stock rose 3.5% in after-hours trading
  • Exceeded analyst expectations for non-GAAP EPS and revenue

While Oracle’s cloud business shows healthy growth, industry observers note AWS maintains significant market dominance. The cloud infrastructure competition continues to intensify as major players vie for enterprise customers with competing performance and pricing claims.

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