AT&T And Oracle In Cloud Services Agreement

Oracle and AT&T have reached an agreement which will see the former assist the latter in moving its internal databases to the former’s IaaS and PaaS technologies. PaaS stands for Platform as a Service while IaaS is an acronym for Infrastructure as a Service.

Under the agreement data and associated applications belonging to AT&T will be moved to Oracle Cloud. The goal of AT&T is to have 75% of the company’s core network functions virtualized by 2020. By the end of this year, the company intends to have 55% of these core network functions virtualized.

Cloud benefits

With AT&T getting global access to the offerings of Oracle’s cloud portfolio, the aim is to cut down on information technology costs as well as increasing productivity. AT&T will also benefit by gaining new flexibility on how SaaS applications are implemented across the telecomm giant’s global enterprise.

Additionally, the agreement will also see AT&T implement OFSC – Oracle Field Service Cloud with a view to optimizing how it schedules and dispatches the over 70,000 field technicians in its employ. By combining its own big data and machine learning capabilities with OFSC, AT&T will be in a position to improve on job duration accuracy, on-time arrivals and productivity of its field technicians.

“This is an historic agreement. The Oracle Cloud will enable AT&T to use Oracle technology more efficiently across every layer of the technology stack,” said the co-chief executive officer of Oracle, Mark Hurd.

Fierce competition

The deal with AT&T is a significant win for Oracle since it gives the enterprise software giant publicity and clout that it has been lacking in the cloud services sector as it has been playing catchup with industry leaders Amazon Web Services and Microsoft. Other competitors include IBM, Google and Salesforce.

To win over customers, Oracle has been promising lower overheads and increased efficiency. Oracle has for instance added new hardware options as well as filled feature gaps. This has been achieved partly through acquisitions. Last month Oracle acquired Wercker B.V. a startup based in the Netherlands which develops tools that are used to automate software projects.

Signs of progress

Some of the efforts Oracle is putting to increase its market share in cloud services have been bearing fruit. As a testament to that, the latest quarterly report showed that revenue from software and platform as a service had grown by 73% year-over-year to reach a figure of $1 billion.

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