Oracle expects more government offices to migrate to the cloud platform due to the opening of the data center in Abu Dhabi.
The US company has signed an Oracle Human Capital Management (HCM) contract with a government agency in Abu Dhabi to switch to the cloud. Currently, the General Customs Administration uses the HCM application on-site.
"It is for us the first great unity of the Government of Abu Dhabi. After that, we turn to the financial proposals for the entire government of Abu Dhabi. First we take the smallest piece for Oracle and then the whole cake of the company. This type of discussion is between the governments of the United Arab Emirates, "said Arun Khekar, Senior Vice President for Central and Eastern Europe, Oracle, Middle East, Africa and India, opposite Trustedreviews Middle East.
In addition, customers would be able to choose from more than 30 data centers available worldwide.
"The deal is no different from what we did to the Emaar Group or DP World," Khekar said.
Oracle has more than 700 live cloud customers in the Middle East and Africa, and intends to engage all 4,000 local customers in the region over the next two years in the cloud.
Khekar wants more than 1,000 of its local customers to move to the cloud this year. Of the 4,000 customers, around 70% are based in the UAE.
A huge catalyst
Khekar added that the data center is a great catalyst for local customers looking to migrate to the cloud, as they can expand beyond their geographic boundaries, and only through the Internet and the cloud.
"The government sector is not an issue because we sold it three years ago. The problem is with the sensitive part of the government like the Ministry of Finance. This happened because of the data center of Abu Dhabi. Data sovereignty is a central issue. Payroll is critical and sensitive in this part of the world, "he said.
Security and privacy issues have been addressed by the local data center, he said, adding that the cost of running a cloud is lower because there are no infrastructure costs and no knowledge required, as Oracle has the knowledge and upgrades.
In addition, business issues are critical, and the digital transformation is a far bigger problem than where the data will be.
"What distinguishes Oracle from its competitors, and what only Oracle can do, is offering end-to-end solutions. We've signed an important contract with an oil company in Kuwait across our entire app suite. Incidentally, there is no data center in Kuwait. The thinking of the new rulers is to get the job done efficiently, "he said.
Oracle is expected to open its next data center in Saudi Arabia this year.
"Saudi Arabia needs a data center because of regulated industries, and we want to make sure our checklist is complete," he said.
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