Oracle Records 68% Growth in Q4 Cloud Revenue

The overall revenue of the company has decreased by 3% but posted a huge revenue growth in the cloud based offering by more than 68% as compared to Q4 of  2015.

oracle  The financial results of Oracle Corporation for the fourth quarter of 2016 were announced today with mixed financial picture of the company. The company has recorded a huge growth in the cloud computing offering, such as software as a service (SaaS) and platform as a service (PaaS). According to the posted results, the company earned as much as $859 million during the fourth quarter in the domain of cloud computing products.

The company posted $10.6 billion revenue for the fourth quarter. The share of SaaS and PaaS products stands at about $690 million. The over revenue of cloud computing products during the fourth quarter increased by over 51%.

“Fourth quarter SaaS and PaaS revenue growth accelerated to six percent in constant currency, significantly higher than my guidance,” said joint CEO Safra Catz. “SaaS and PaaS gross margins continued to improve throughout the year. Bookings in the fourth quarter were also very strong, enabling us to raise our guidance for first quarter SaaS and PaaS revenue growth, which we now expect to be between 75% and 80%.” She added further.

The over results fo the company were not so encouraging for the company. It has recorded decline in many sectors as well as in the over revenue. The license sales has declined by more than 12% and stands at $2.77 billion down from the previous revenue of $3.14 billion. The over sale of the license has also decreased substantially by over 15% down from the previous revenue of $8.54 billion to $7.28 billion.

The founder of the company was also very excited about the cloud earnings. He coined a term “idiocy” for the cloud services a few years back, but now he is confident that cloud earning would help the company. He said, “Hyper-growth” of SaaS and PaaS Oracle has experienced in 2016 to continue on for the next few years.” He further said, “That gives us a fighting chance to be the first cloud company to reach $10bn in SaaS and PaaS revenue.”

Meanwhile, the share of the Oracle has sustained a substantial pressure and dipped by over 5% after the announcement of the financial results of the company for year 2016.

Intel Announces Phase of Restructuring to Put Focus on Cloud

The restructuring initiative will help the company accelerate its evolution from a PC company to a cloud powered company, and it will also slashes 12000 employees of Intel globally.  Intel Corporation announces a restructuring initiative to speed up its growth from a PC company to one that powers the cloud and billions of smart and connected computing devices. Intel will deepen its focus on high growth areas where it is placed for long-term leadership, client, value and growth, while making the corporation more proficient and beneficial.

The data center and Internet of Things (IoT) businesses are Intel’s primary development engines, with memory and field programmable gate arrays (FPGAs) speeding up these opportunities, fueling an upright cycle of growth for the company. These growth businesses brought $2.2 billion in income growth last year, and made up 40 percent of income and the greater part of operating profit, which mainly offset the decline in the PC market division.

“Our results over the last year demonstrate a strategy that is working and a solid foundation for growth,” said Krzanich. “The opportunity now is to accelerate this momentum and build on our strengths. These actions drive long-term change to further establish Intel as the leader for the smart, connected world,” he added. “I am confident that we’ll emerge as a more productive company with broader reach and sharper execution.”

“The data center and Internet of Things business are now Intel’s primary growth engines, and combined with memory and FPGAs, form and fuel a virtuous cycle of growth” he said.

Whereas making the company more resourceful, Intel plans to amplify investments in the products and technologies that that will fuel income growth, and make more beneficial mobile and PC businesses. Through this complete idea, the company plans to raise investments in its data center, IoT, memory and connectivity businesses, as well as rising client divisions such as 2-in-1s, gaming and home gateways.

This transformation will result in the decrease of up to 12,000 positions globally, about 11 percent of employees, by mid 2017 through the site consolidations worldwide, a blend of voluntary and involuntary departures, and a review of programs. The greater part of these actions will be corresponded to exaggerated workers over the next 60 days with some actions spanning in to 2017.

Intel is looking forward to the program to deliver $750 million in funds this year and annual run rate savings of $1.4 billion by mid 2017.

Cloud Based Collaboration of Cisco and Verizon to Offer Cisco Spark

Cisco and Verizon team up to provide the Verizon’s customers with Cisco Spark that is a new cloud based collaboration service and it is a part of Verizon’s plan for next generation cloud solutions.

Cisco  Cisco announces that it will team up with the Verizon Enterprises to deliver the cloud based collaboration, Cisco Spark to the customers of Verizon. The statement builds on sustained hard work from Verizon to boost its variety next-generation partnership solutions, which by now consist of offers such as Collaboration Meeting Room, Cisco WebEx Cloud Connected Audio and Verizon’s UCCaaS Mobile First service.

“Verizon is a leader in delivering global, mobile-enabled unified communications solutions to our business and government clients,” said Bob Minai, Executive Director, Advanced Communications at Verizon. “By integrating Cisco Spark meeting and messaging capabilities into Verizon’s collaboration portfolio and a global network, Verizon and Cisco will continue to help enterprise clients with digital transformation initiatives that drive better customer experiences and meaningful, measurable business outcomes.”

The latest combined offer will bring Spark Message and Spark Meet features incorporated with Verizon’s business collaboration services. The final objective of the partnership will be to build up a service provided in such a manner that the clients are not able to distinguish between the Cisco and Verizon components. Though at present accessible only in the US, the service will be presented to ventures and government clients worldwide till the end of the year.

Cisco has also stated the allotment of $150 million to the Cisco Spark for Development Fund, to produce new thoughts for the ecosystem. The finance will cover up direct investments, joint expansion, additional improvements and developer support.

“Cisco is putting our leading providers at the center of our cloud strategy. As we bring Cisco Spark and other SaaS solutions to market, we will team with our global service providers to jointly develop, sell and market” said Rowan Trollope, GM Cisco Collaboration.

The Verizon has been putting significant efforts over the last 12 months to boost its cloud-based communications offerings, to fulfill the load of progressively more mobile and joint workforce. With organizations increasingly probing for opportunities to make a more creative working environment, software and cloud based offerings that allow employees to work in the office, from residence or on the path, are rapidly becoming the standard.

The corporation continues Verizon’s development of joint business, subsequent on last month’s statement that it will team up with HyperOffice.