What is Oracle Cloud at Customer?
- Hybrid Cloud Solution: Combines Oracle Exadata’s performance with cloud deployment in your data center.
- Enhanced Performance: High database performance and efficiency.
- Robust Security: Strong data protection features.
- Scalable: Easily scalable for growing business needs.
- Integration: Seamless integration with Oracle Cloud services.
What is Oracle Cloud at Customer
Oracle Cloud at Customer (OCC) is an Oracle cloud service offering designed to combine the advantages of cloud computing with the security, control, and compliance benefits of on-premises deployments. This innovative approach enables organizations to utilize Oracle’s public cloud infrastructure and services within their data centers or at their chosen locations.
Oracle Cloud at Customer is particularly valuable for enterprises needing the flexibility and scalability of cloud solutions yet unable or unwilling to migrate entirely to public cloud environments due to regulatory requirements, security concerns, latency issues, or data sovereignty constraints.
This article explains in detail Oracle Cloud at Customer, how it functions, its key features and components, typical use cases, pricing models, licensing considerations, benefits, challenges, and recommendations for effectively managing OCC solutions.
Oracle Cloud at Customer (OCC)
Oracle Cloud at Customer is essentially Oracle’s cloud infrastructure installed within an organization’s facilities and managed remotely by Oracle. It provides the exact cloud services, features, scalability, and automation found in Oracle Cloud Infrastructure (OCI) but is physically located in the customer’s environment.
Oracle Cloud at Customer infrastructure is owned and maintained by Oracle, even though the equipment resides on the customer’s premises. Customers pay Oracle based on a subscription model similar to OCI. This unique delivery model helps customers maintain compliance, control, and security without sacrificing cloud agility.
Key Features of Oracle Cloud at Customer
Oracle Cloud at Customer provides multiple core features clearly defining its value proposition:
On-Premises Public Cloud Experience
- Provides public cloud capabilities within customer data centers.
- Ensures applications, databases, and workloads utilize local OCI features, automation, APIs, and scalability.
Fully Managed by Oracle
- Oracle remotely manages the cloud infrastructure installed at the customer’s location.
- Infrastructure updates, patches, and maintenance are Oracle’s responsibility, reducing the customer’s operational overhead.
Complete Oracle Cloud Compatibility
- Seamless integration with Oracle’s public cloud infrastructure (OCI).
- Allows hybrid deployments, workload portability, and consistent user experiences between OCC and OCI public cloud services.
Security and Compliance Benefits
- Enables customers to maintain strict control over data location, which is essential for regulatory compliance or data sovereignty requirements.
- Allows utilization of cloud computing models without compromising internal governance.
Oracle Cloud at Customer – How It Works
Oracle Cloud at Customer deployment involves several clearly defined steps:
Infrastructure Installation and Setup
- Oracle installs Oracle Cloud infrastructure hardware within the customer’s data center.
- Equipment includes Oracle Exadata Cloud at Customer, Autonomous Database on Exadata Cloud at Customer, and other relevant Oracle Cloud hardware platforms.
Remote Management by Oracle
- Oracle remotely manages the infrastructure via secure connections, providing regular updates, patches, proactive monitoring, and support.
- Oracle continuously optimizes and maintains its infrastructure without the customer’s direct involvement.
Subscription-Based Pricing
- Customers pay for Oracle Cloud at Customer through subscription fees, typically based on usage, performance tiers, or capacity (similar to OCI public cloud services).
- No upfront hardware purchase is required; Oracle owns the infrastructure.
Oracle Cloud at Customer – Typical Use Cases
Organizations frequently choose Oracle Cloud at Customers for several practical use cases:
Regulatory Compliance and Data Sovereignty
- Industries with strict data governance requirements (finance, healthcare, public sector) deploy OCC to retain full control over data locality.
- Ensures compliance with regulations like GDPR, HIPAA, or local data sovereignty laws.
Latency-Sensitive Applications
- Applications requiring ultra-low latency benefit significantly from local deployment provided by Oracle Cloud at Customer, avoiding the delays associated with public cloud networks.
Hybrid Cloud Deployments
- OCC supports seamless hybrid cloud solutions, enabling customers to operate applications both locally and in the public Oracle cloud with consistent management.
Security-Sensitive Workloads
- Maintaining infrastructure on-premises provides security assurances for organizations with highly sensitive workloads, such as government agencies, financial institutions, or defense sectors.
Components of Oracle Cloud at Customer
Oracle Cloud at Customer includes specific cloud infrastructure components and services:
Oracle Exadata Cloud at Customer
- Oracle’s high-performance database cloud platform is deployed locally within customer data centers.
- Provides optimized database services, high availability, performance, and scalability for Oracle Database workloads.
Oracle Autonomous Database on Exadata Cloud at Customer
- Fully autonomous database services are offered within customer data centers, enabling automated tuning, scaling, backup, patching, and security management.
Oracle Compute Cloud at Customer
- Infrastructure-as-a-Service (IaaS) solutions are delivered within the customer’s facilities, providing virtual machines, storage, networking, and compute resources similar to OCI.
Oracle Container Engine for Kubernetes (OKE)
- Kubernetes services run locally within the customer’s data center, offering consistent containerized application management across hybrid environments.
Oracle Cloud at Customer Pricing Model Explained
Oracle Cloud at Customer utilizes subscription-based pricing:
Subscription Fees (Monthly or Annual)
- Customers subscribe based on a predetermined resource capacity or usage model.
- Fees depend on hardware types, resources utilized, compute and storage tiers, and services selected.
Pay-as-You-Go Pricing
- Optionally available for certain OCC services, providing resource consumption and scaling flexibility.
Benefits of Subscription Pricing
- Eliminates upfront capital expenses typically associated with hardware investments.
- Predictable costs simplify budget management and forecasting.
Licensing Considerations for Oracle Cloud at Customer
Licensing Oracle software on Cloud at Customer follows Oracle cloud subscription models explicitly:
Subscription-Based Licensing
- Customers utilize cloud subscription licenses as part of Oracle Cloud at Customer agreements, eliminating separate perpetual license purchases for most cloud-native deployments.
Bring Your Own License (BYOL)
- Customers may utilize existing perpetual Oracle licenses under Oracle’s BYOL terms explicitly outlined in agreements, potentially reducing overall costs.
Licensing Pitfalls to Avoid
- Carefully verify licensing terms explicitly within contracts.
- Avoid mistakenly assuming perpetual licenses automatically transfer; explicitly confirm BYOL policies.
Benefits of Oracle Cloud at Customer
Organizations deploying Oracle Cloud at Customer gain several distinct advantages:
Cloud Flexibility with On-Premises Control
- Access Oracle cloud infrastructure locally, combining public cloud innovation with internal governance and security.
Regulatory Compliance
- Maintain strict data sovereignty and compliance without sacrificing cloud scalability and efficiency.
Cost Efficiency and Predictability
- Subscription-based pricing reduces capital expenditures and provides predictable operational costs.
Reduced Operational Complexity
- Oracle-managed infrastructure reduces internal IT workload, enabling teams to focus on strategic projects rather than routine maintenance tasks.
Challenges and Considerations for Oracle Cloud at Customer
Organizations evaluating OCC should consider potential challenges:
Dependence on Oracle Management
- Organizations must trust Oracle’s remote management of infrastructure, which may raise concerns regarding control and visibility.
Cost Considerations for Long-Term Use
- Subscription costs can be significant for long-term use; organizations should explicitly evaluate total cost of ownership (TCO) carefully.
Limited Customization of Infrastructure
- OCC infrastructure is standardized, limiting the ability to customize hardware extensively compared to traditional on-premises deployments.
Best Practices for Implementing Oracle Cloud at Customer
Successful Oracle Cloud at Customer implementation involves clear best practices:
Clearly Define Your Requirements
- Understand regulatory, performance, security, and compliance requirements explicitly before implementation.
Negotiate Contract Terms Carefully
- OCC contracts explicitly negotiate service levels, management responsibilities, and licensing terms.
Proactive Capacity Planning
- Anticipate future resource needs explicitly, ensuring subscription plans align with expected workload growth.
Regularly Evaluate Service and Cost Efficiency
- Periodically review usage and performance explicitly, adjusting subscription plans proactively to optimize value.
Conclusion – Oracle Cloud at Customer Strategy Recommendations
Oracle Cloud at Customer provides organizations with a powerful tool, combining cloud capabilities with on-premises control. To maximize OCC value clearly:
- Explicitly define regulatory and compliance needs.
- Carefully negotiate and manage contracts explicitly.
- Proactively evaluate long-term cost implications.
- Regularly review and optimize OCC resources proactively.
By consistently following these explicit recommendations, organizations can effectively leverage Oracle Cloud at Customer, achieving compliance, performance, cost-efficiency, and operational excellence in their IT strategy.
FAQs
What is Oracle Cloud at Customer?
Oracle Cloud at Customer allows you to run Oracle Cloud services in your data center while Oracle manages the infrastructure.
How does Exadata Cloud at Customer differ from traditional Exadata?
Exadata Cloud at Customer is managed by Oracle in your data center, providing a cloud-like experience, whereas the customer fully manages traditional Exadata.
What are the benefits of Exadata Cloud for Customers?
Benefits include colocation, access to Oracle’s autonomous database, reduced capital expenditure, and Oracle-managed service encapsulation.
What is the minimum contract commitment for Exadata Cloud at Customer?
The minimum contract commitment is four years.
How does licensing work for Exadata Cloud at Customer?
You can opt for a complete package including all necessary licenses or use your existing Oracle Database software licenses.
What database versions are supported by Exadata Cloud at Customer?
Supported versions include Oracle Database 19c, Oracle Database 12c Release 2, and Oracle Database 11g Release 2, with specific conditions for each version.
What are the key security features of Exadata Cloud at Customer?
Security features include virtual machine technology to separate customer-managed and Oracle-managed components and Oracle-administered Exadata hardware.
How does Exadata Cloud at Customer ensure high performance?
The service utilizes Oracle Exadata’s high-performance features, including optimized hardware and software integration.
What is the difference between Exadata and Exadata Cloud at Customer regarding management?
The customer fully manages Exadata, while Exadata Cloud at Customer is managed by Oracle, reducing the operational burden on the customer.
Can I use my existing Oracle licenses with Exadata Cloud as a customer?
Yes, you can bring your existing Oracle Database software licenses.
What are the cost components of Exadata Cloud at Customer?
Costs include a fixed monthly payment for Exadata infrastructure usage and additional charges for OCPU consumption.
How does Exadata Cloud at Customer support scalability?
The service is easily scalable, leveraging Oracle’s cloud infrastructure to meet growing business needs.
What are the main competitors to Exadata Cloud at Customer?
No direct competitors offer the same level of Oracle cloud services integration; however, other cloud providers offer similar database solutions.
What industries benefit most from Exadata Cloud at Customer?
Industries with strict regulatory requirements, such as finance, healthcare, and telecommunications, benefit from the on-premises deployment and low-latency connections.
