Oracle continues to expand its data centre development

From deploying Azure facilities, to meeting cloud demand, 2023 has seen Oracle working hard to expand its data centre services worldwide

Moving into 2024, Oracle is working to expand its global data centres presence significantly.

The company recently announced in an earnings call that it is currently expanding 66 existing cloud data centres and building 100 new cloud data centres. As reported by Data Centre Dynamics, Oracle has typically in the past relied on leasing space from third-party data centre providers instead of building its own facilities.

Company CEO Safra Catz says the company now has 66 customer-facing cloud regions live, with 45 public cloud regions around the world and another six under construction.

Enhancing data centre services worldwide

Oracle Corporation has a well-established strong presence in the cloud computing landscape, continually offering solutions for enterprises across various industries. Its services are designed to bring computing power and storage closer to data sources, enabling real-time processing and analysis even in remote locations with limited or intermittent internet connectivity.

The company now operates one of the fastest core networks of global data centres, with more than 42 regions currently available and nine more in development. In addition, it provides 20 free tier services, including compute and storage, autonomous databases and APEX for low-code development.

“We have to build 100 additional cloud data centres because there are billions of dollars more in contracted demand than we currently can supply,” says Larry Ellison, CTO and Founder of Oracle.

“Cloud infrastructure demand is huge and growing at an unprecedented rate. We’re able to build new data centres rapidly and operate them inexpensively because all of our data centres are architecturally identical, highly automated, with an identical high-performance RDMA network, autonomous services and applications.”

Oracle is hoping to launch 20 Microsoft data centres in the near future as part of efforts to offer Oracle services through Azure. The offering is expected to total more than 2,000 data centre racks.

Building a data centre in every country in the world

The company has approached data centre developments and digital transformation efforts differently to its corporate counterparts. Throughout 2023, it has been reported that Oracle plans to build hundreds of data centres worldwide with one in every country.

In December 2023, Oracle announced the opening of the first hyperscale cloud region in Colombia. As part of a collaboration with Claro, the data centre is able to offer organisations access to a wide range of cloud services to help modernise their applications. In addition, they can continue to innovate with data and analytics and migrate mission-critical workloads from their data centres to Oracle Cloud Infrastructure (OCI).

Developing smaller data centres in this way could lead to lower costs for the company. It could also mean that customers would be afforded greater accessibility to wide-reaching cloud services for benefits like cybersecurity, privacy and lower latency.

Although Oracle’s revenue has dropped this year, the company is keen to continue developing in order to match the demand for new digital technologies like AI, for example. Total quarterly revenues for the company were up 5% year-over-year (YoY) and up 4% in constant currency to total US$12.9bn.

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