As part of an important move to enhance its artificial intelligence capabilities, Oracle has reportedly received a significant investment amounting to a USD1.5 billion outlay by a coalition of partners across the world.
The first ones in the pack are the Indian IT giants Infosys, Cognizant, Accenture, and LTI Mindtree, all of which have committed to cooperate with Oracle in its next AI data platform.
Driving the Next Breach of AI-Based Enterprise Systems
The initiative by Oracle focuses on the construction of, literally, an enterprise grade AI data platform.
Which should be able to ingest large amounts of paused data, structure both structured and unstructured data, be backed by advanced generative AI processes, and have the potential to scale to the cloud native architecture.
The involved companies will be in line with the Oracle roadmap, which will provide them with cloud consulting and delivery services to assist the clients to embrace the platform in various sectors.
To illustrate, Infosys is likely to add specific AI domain solution and delivery models, whereas Accenture will provide its global human resource base and experience in transforming enterprises.
Cognizant and LTI Mindtree will specialize in systems integration, data engineering, and migration services that will support the core offering of Oracle Cloud.
Strategic Implication and Implications for the Market
This investment initiative in the AI platform of Oracle is notable on several fronts.
To start with, it strengthens the approach of Oracle to reinvent itself from a relic of an enterprise software powerhouse into a cloud native AI decision maker.
This is evidenced by the support that the India based exporters in commercial AI developed and that India is now a country of choice in the global AI supply chain in terms of resources and service provision.
Second, the size of Collaborative Initiative 1.5 billion is among the biggest joint investment initiatives that have been announced in the enterprise technology market over the past few years.
It indicates that there is a broader trend in the industry concerning standalone vendor platforms and the delivery models based on ecosystems, in which cloud providers, integrators, and management consultants pull resources and share risk.
Third, it puts Oracle in a better position compared to other competitors such as Microsoft Azure and Amazon Web Services that are in the fray to secure the leadership in the AI platform market.
Increased demands among enterprise customers on integrated AI data cloud stacks give Oracle a competitive advantage in large-scale partner buy in.
Targeting India and going global
What is notable is the contribution of India to the deal. The country has four key Indian players who are abroad, and this shows its presence in the global delivery ecosystem of Oracle.
Implementation, localization, and innovation will largely be done by the Indian firms, which will make India one of the center stages of the AI-data platform rollout.
It has other advantages, the clients of India will find it easier to access new gen tools of Oracle, the Indian talent will have a peep into the new generation of AI work, and the environment will become stronger for all stakeholders.
What Comes Next?
Oracle will implement the AI data platform in stages to 2026.
The first customers shall be large enterprise clients in the financial, manufacturing, and retail industries, where the amounts of data and opportunities of artificial intelligence ROI are maximized.
The partners and Oracle will also demonstrate the application of use cases like real time analytics, supply chain intelligence, AI-based customer insights, and generative AI applications to enterprise workflows together.
This joint venture could be a pattern of how ecosystems between enterprises and technology are established in the next few years as AI demands keep expanding in size and complexity.
