Did oracle stop selling Sparc servers?

By: RichardC (tich.delete@this.pobox.com), September 29, 2019 6:19 am
Room: Moderated Discussions
Michael S (already5chosen.delete@this.yahoo.com) on September 28, 2019 12:26 pm wrote:
> Nowadays all American tech giants want to be "service" companies, Oracle is not an exception.
> I'd guess good old selling hardware and software is not sufficiently post-post-post-industrial.

Oracle is in a hole: their core business was selling licenses for on-site databases,
and that started shrinking because:
a) existing businesses migrating to cloud
b) big data-analysis/data-warehouse moving to Hadoop/Spark
c) competition from cheap/free open-source MySQL etc
d) every startup prefers cloud (lower upfront cost, scalable pricing)

Oracle's response was to try to make themselves into a cloud-services company,
noticing that Wall St would maintain their stock price if they could show
rapid growth of cloud revenue, even if their overall revenue and earnings
were bad.

But with the high-margin traditional DB business shrinking, and the need to invest
heavily in data centers and hardware for the cloud business, they don't have so
much cashflow as they used to. Designing competitive SPARC cpus and building systems
is a nightmarishly expensive investment in a shrinking market for non-x86 servers.
So they canned it.

Their strategy still makes no sense: Oracle's business model is to lock in their customers
and then gouge them. But any business moving to the cloud does so in part to be
able to take advantage of competition and competitive pricing and get away from being
locked in to a single vendor. Oracle is doomed.

< Previous Post in ThreadNext Post in Thread >
TopicPosted ByDate
server marketsomeone2019/09/27 10:55 PM
  Don't worry, ARM servers will win Any Day Now (NT)Anon2019/09/28 09:44 AM
    Don't worry, ARM servers will win Any Day NowAnon32019/09/30 04:17 AM
  server marketMichael S2019/09/28 10:34 AM
    Did oracle stop selling Sparc servers? (NT)Foo_2019/09/28 11:42 AM
      Did oracle stop selling Sparc servers?Michael S2019/09/28 12:26 PM
        yachtingEric Bron2019/09/29 02:08 AM
        Did oracle stop selling Sparc servers?RichardC2019/09/29 06:19 AM
          Did oracle stop selling Sparc servers?Kevin G2019/10/01 10:54 AM
            Did oracle stop selling Sparc servers?Anon32019/10/01 02:02 PM
            Did oracle stop selling Sparc servers?RichardC2019/10/02 07:33 AM
              Did oracle stop selling Sparc servers?RichardC2019/10/02 07:35 AM
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