Amazon apparently planning to ditch Oracle 'within two years'

The company will complete its migration to AWS by 2020, sources say

Oracle has been dealt another major blow by Amazon, following reports that the company is planning to complete its migration away from Oracle's database technology in less than two years.

According to sources familiar with Amazon's plans who spoke to CNBC, the e-commerce titan is in the final stages of migrating its systems from Oracle's services to Amazon's own cloud infrastructure, and plans to be complete by Q1 2020.

Oracle has deflected the suggestion that one of its biggest and highest-profile customers may be about to jump ship, stating that Amazon's technology can't compete with Oracle's.

"Over the years Amazon has spent hundreds of millions of dollars on Oracle technology to run its business," an Oracle spokesperson said. "Around a year ago, Amazon spent another $60 million to acquire still more Oracle database and data analytics software."

"We don't believe that Amazon Web Services has any database technology that comes close to the capabilities of the Oracle database. That's why our biggest competitors like Salesforce.com, SAP, and Amazon continue to rely on the Oracle database to run their business."

While some may be surprised to learn that Amazon isn't solely reliant on AWS for its infrastructure needs, there are some parts of Amazon's e-commerce systems - which were set up prior to the launch of AWS - that still use Oracle databases.

According to sources, the driving factor behind the migration is the insufficient ability of traditional database technology to scale effectively. Amazon's infrastructure needs are both vast and rapidly-fluctuating, making cloud-based infrastructure better-suited to its needs.

While Oracle is quick to claim that its database technology is best-in-market, the company's growth has not matched these large claims. In fact, while Amazon has grown around 400% in the last five years to become the second most valuable public company in the world, Oracle's growth has remained flat, with its stock price up just 40% compared to half a decade ago.

Amazon could not be reached for comment.

Featured Resources

BIOS security: The next frontier for endpoint protection

Today’s threats upend traditional security measures

Download now

The role of modern storage in a multi-cloud future

Research exploring the impact of modern storage in defining cloud success

Download now

Enterprise data protection: A four-step plan

An interactive buyers’ guide and checklist

Download now

The total economic impact of Adobe Sign

Cost savings and business benefits enabled by Adobe Sign

Download now

Recommended

US judge allows TikTok downloads to continue, for now
Acquisition

US judge allows TikTok downloads to continue, for now

28 Sep 2020
Oracle will take a 12.5% stake of TikTok Global
mergers and acquisitions

Oracle will take a 12.5% stake of TikTok Global

21 Sep 2020
Oracle and TikTok deal close, but ByteDance wants majority ownership
mergers and acquisitions

Oracle and TikTok deal close, but ByteDance wants majority ownership

16 Sep 2020
Oracle confirms bid to become TikTok's "trusted tech partner"
Business strategy

Oracle confirms bid to become TikTok's "trusted tech partner"

14 Sep 2020

Most Popular

16 ways to speed up your laptop
Laptops

16 ways to speed up your laptop

16 Sep 2020
16 ways to speed up your laptop
Laptops

16 ways to speed up your laptop

16 Sep 2020
Google removes 17 apps infected with evasive ‘Joker’ malware
malware

Google removes 17 apps infected with evasive ‘Joker’ malware

28 Sep 2020