Oracle to launch 3 new cloud regions in Latin America

Oracle operates four cloud regions in Latin America and it plans to launch three more “in the coming months.” 

The information was provided by the company in a press release linked to its annual CloudWorld event, held from September 18-21.

Oracle said it aims for 90% of its revenue in the region to come from cloud services by 2025. These services currently make up 70% of revenue, with around 8,000 clients.

Globally, the company has 45 cloud regions on five continents. In Latin America, it operates cloud regions in Chile and Brazil, and has agreements with América Móvil to host its cloud infrastructure in Claro and Telmex datacenters in Colombia and Mexico.

Oracle did not provide details about the locations of the new cloud regions. In March, senior regional VP of telecommunications Ángel Alija told BNamericas that Peru and some countries in Central America were being analyzed.

"In the recent years we have successfully transitioned from a product company to a services company that puts the customer at the center of everything it does," said Luiz Meisler, executive VP for Latin America, in a press release.

Major Oracle clients in the region include Bimbo, Claro, MercadoLibre, Sura and TIM.

ALLIANCES

Last week Microsoft and Oracle unveiled a collaboration agreement that will allow direct access to Oracle database services running on its cloud infrastructure (OCI) in the Azure cloud.

"Our expanded partnership with Oracle will make Microsoft Azure the only other cloud provider to run Oracle’s database services and help our customers unlock a new wave of cloud-powered innovation," said Satya Nadella, president and CEO of Microsoft, in a press release.

The companies said that the agreement will provide an improved experience for customers who are adopting multicloud architectures, as the use of multiple clouds tend to create challenges in terms of tool management and purchasing processes.

Oracle will operate and manage the OCI services directly from Microsoft data centers around the world, starting with the regions of North America and Europe.

The company also announced an agreement with Amdocs to allow service providers to move applications to OCI. Previously, Oracle had announced an agreement with Nvidia to include the execution of strategic artificial intelligence applications in OCI.

It has also signed an alliance with AI company Cohere, who will deploy its generative AI models on the Oracle cloud platform.

According to figures from research firm Imarc, the AI market in Latin America was worth US$2.9bn in 2022 and is set to reach US$13.3bn in 2028.