Oracle cloud

Oracle Cloud at Customer – Pricing and Benefits

Oracle Cloud at Customer is:

  • A hybrid cloud solution enables customers to run Oracle Cloud services in their data centers.
  • It provides a secure, managed environment on-premises, with the benefits of a public cloud, such as scalability and ease of use.
  • Allows organizations to leverage cloud computing benefits while maintaining complete control over their data and applications

What is Oracle Cloud at Customer?

What is Oracle Cloud at Customer

Introduction to Oracle Cloud at Customer

Oracle Cloud at Customer - What is it?

Oracle Cloud at Customer brings cloud services’ flexibility, scalability, and utility directly into the data centers of businesses worldwide.

This unique offering addresses the growing need for cloud capabilities coupled with stringent data residency, security, and regulatory requirements.

Unlike traditional cloud services, Oracle Cloud at Customer provides the cloud experience on-premises, ensuring complete control over data location and processing.

  • Definition and Purpose: Oracle Cloud at Customer is designed to deliver Oracle Cloud services within the security and control of a private data center. This solution meets the needs of organizations that require cloud infrastructure but must comply with data sovereignty or regulatory obligations that prevent the use of public clouds.
  • Differentiation from Traditional Cloud Services: This service blends the best of both worlds: the advanced capabilities of cloud computing with the privacy and control of on-premises infrastructure. Unlike typical cloud offerings operating in external data centers, Oracle Cloud at Customer is installed in the customer’s data center.
  • Addressing Specific Needs: It’s particularly beneficial for sectors like finance, government, and healthcare, where data privacy and security are paramount, yet the agility and scalability of the cloud are needed.

Key Features of Oracle Cloud at Customer

Key Features of Oracle Cloud at Customer

Oracle Cloud at Customer offers a suite of features designed to bring the power of Oracle Cloud directly to an organization’s premises.

These features are crafted to ensure that businesses enjoy the benefits of cloud computing while meeting their specific regulatory and data residency requirements.

  • High Exadata Performance: Oracle Cloud at Customer harnesses the Exadata platform, renowned for its high performance, making it suitable for data-intensive applications and workloads. This performance is crucial for businesses requiring rapid data processing and real-time analytics.
  • Scalable Infrastructure: A standout feature is its scalable nature. Enterprises can efficiently scale their infrastructure up or down based on their current needs, ensuring they only pay for the resources they use.
  • Secure Deployment: It is deployed within a customer’s data center and behind their firewall, offering enhanced security, a key concern for many organizations.
  • Autoscaling Databases: One of the most significant advantages is the ability to autoscale databases without downtime. This feature ensures that database resources are optimized for usage and cost, a critical factor for businesses looking to maintain operational efficiency.
  • Cost-effective Pricing Models: Oracle Cloud at Customer offers a subscription-based model that can be more cost-effective than traditional capital expenditure models. This consumption-based pricing ensures that organizations only pay for what they use, reducing the total cost of ownership.

Oracle Cloud at Customer’s blend of on-premises security and cloud flexibility makes it a unique and powerful solution for modern enterprises facing the dual challenge of digital transformation and strict regulatory compliance.

Deployment and Management of Oracle Cloud Customer

Deployment and Management of Oracle Cloud at Customer

Deployment Process in Data Centers

  1. Initial Setup: Oracle Cloud Customer is installed and initialized in your data center by Oracle’s team. This includes integrating all necessary hardware and software components, testing, and configuring for optimal performance.
  2. Connection to Oracle Cloud Infrastructure (OCI): The infrastructure is securely connected to your OCI tenancy, ensuring seamless integration with Oracle’s cloud services.
  3. Custom Configuration: The system is configured based on your specific needs, including setting up Virtual Cloud Networks (VCNs), instances, and storage solutions.

Management Aspects

  1. Security Measures: Deployment includes multiple layers of security, such as defense-in-depth, operational isolation, and end-to-end encryption. This ensures the protection of crucial Oracle databases and compliance with data residency and privacy requirements.
  2. Operational Isolation: Different services like the Exadata Database Service and Autonomous Database run on isolated VM clusters with separate network configurations, enhancing the security posture within customer data centers.
  3. Full-Stack Patching by Oracle: Oracle handles the creation and deployment of patch sets for the infrastructure, coordinating with enterprise IT teams for rapid implementation without disrupting business operations.
  4. Monitoring and Maintenance: The cloud operations team, managed by Oracle, is responsible for ongoing maintenance, including system upgrades, incident management, and monitoring with OCI-native services.

Best Practices for Implementing Oracle Cloud at Customer

Best Practices for Implementing Oracle Cloud at Customer
  1. Strategic Planning for Deployment
    • Conduct a thorough assessment of your current and future infrastructure needs.
    • Align the deployment with your business objectives and regulatory compliance requirements.
  2. Optimizing Security and Compliance
    • Utilize Oracle’s built-in security features like Oracle Data Safe and Operator Access Control.
    • Regularly review and update security policies in line with Oracle’s best practices.
  3. Effective Resource Management
    • Leverage autoscaling and consumption-based pricing models to optimize resource usage and control costs.
    • Regularly monitor and adjust the infrastructure to align with changing workload demands.
  4. Ensuring High Availability and Disaster Recovery
    • Implement Oracle Maximum Availability Architecture best practices to protect against outages and data loss.
    • Plan for business continuity by using features like Oracle Active Data Guard for disaster recovery.
  5. Continuous Skill Development and Training
    • Invest in training for your IT team to effectively manage and operate the Oracle Cloud at customer infrastructure.
    • Stay updated on the latest features and enhancements released by Oracle.

Adhering to these best practices ensures an effective deployment and management of Oracle Cloud at Customer, leading to enhanced performance, security, and cost-efficiency in your on-premises cloud environment.

Security and Resiliency in Oracle Cloud at Customer

Security and Resiliency in Oracle Cloud at Customer

Security Features

  1. Defense-in-depth: Oracle Cloud at Customer employs a multi-layered security approach. This includes a range of protective measures across physical, network, application, and data layers to safeguard against various threats.
  2. End-to-end Encryption ensures data protection at rest and in transit within the Oracle Cloud at Customer infrastructure. This includes using customer-owned encryption keys, which adds an extra layer of security.
  3. Oracle Operator Access Control: This feature allows organizations to supervise and control Oracle Cloud operators’ access to resources during remote management sessions, enhancing the security and integrity of the managed services.

Resiliency Features

  1. Oracle Maximum Availability Architecture: This architecture includes best practices designed to maximize the availability of Oracle databases. It is accessible via the Oracle Cloud at the Customer console and is built into services like the Autonomous Database, offering robust protection against outages and data loss.
  2. High Availability Systems: Oracle Cloud at Customer’s design includes full server, storage, and networking redundancy, ensuring no single points of failure.
  3. Proactive Fault Management: Leveraging AI, the Autonomous Database on Oracle Cloud at Customer can detect and remediate potential problems before they impact users, thereby increasing the overall system availability.

Cost Management and Efficiency in Oracle Cloud at Customer

Cost Management and Efficiency in Oracle Cloud at Customer

Lowering Consumption Costs

  1. Database Consolidation: Exadata Cloud at Customer enables the consolidation of databases, which can lead to significant reductions in infrastructure and costs. By bringing multiple databases onto a single platform, operational efficiencies and cost savings can be achieved.
  2. Scalable Consumption: The platform allows for the online scaling of CPU cores and automatic scaling with Autonomous Database, ensuring that organizations pay only for the resources they consume.
  3. Zero Consumption Databases: The Autonomous Database on Exadata Cloud at Customer allows customers to create databases with zero consumption costs at certain times, providing further cost control.

Automated Maintenance Operations with Exadata Fleet Update

  1. Automated Upgrades and Patching: Exadata Fleet Update automates maintenance operations for large-scale database deployments. This includes grouping databases and grid infrastructures into a single maintenance schedule, reducing manual effort, and ensuring consistency.
  2. Efficiency in Management: By automating these critical maintenance tasks, IT teams can focus on more strategic initiatives, thus improving overall management efficiency and infrastructure utilization.

Incorporating these security, resiliency, and cost management features, Oracle Cloud at Customer provides a comprehensive solution for organizations looking to leverage cloud capabilities while maintaining control and efficiency in their data centers.

Use Cases for Oracle Cloud at Customer:

  1. Regulatory Compliance: Organizations that operate in heavily regulated industries, such as healthcare or finance, can use Oracle Cloud at Customer to maintain control over their data and applications while still taking advantage of the benefits of cloud computing.
  2. Hybrid Cloud: Organizations that require a hybrid cloud environment, with workloads running on-premises and in the public cloud, can use Oracle Cloud at Customer to connect their environments seamlessly.
  3. Data Sovereignty: Organizations that need to maintain control over data residency and sovereignty can use Oracle Cloud at Customer to keep data on-premises while still taking advantage of the benefits of cloud computing.

Oracle Cloud at Customer Pricing

Oracle Cloud at Customer Pricing & Contracts

What To Consider Before Deciding on Oracle Cloud at Customer

Here are vital aspects to consider:

  1. Understand Your Oracle Estate: Evaluate which Oracle workloads need to migrate to the Cloud at Customer. It’s not always cost-effective to move all workloads. Some may be more suitable to run on-premise, especially if the driving factor is support cost reduction. In some cases, it might be viable to terminate the support contract and run non-critical workloads without Oracle support.
  2. Third-Party Oracle Support: If Oracle support is still needed for certain workloads, consider engaging with third-party vendors. They can support workloads that don’t move to Cloud at Customer, often at a more cost-effective rate.
  3. Beware of Oracle’s HW Sizing and Cloud Spend Suggestions: Oracle overestimates the necessary hardware and cloud spend. Ensure you have the in-house expertise or engage with external experts to accurately determine your needs rather than relying solely on Oracle’s suggestions.
  4. Oracle’s Minimal Discounts on HW and Cloud Services: Oracle’s hardware and cloud services discounts are typically low. It’s advisable to buy only what you initially need and resist over-committing based on Oracle’s quotes. Push back against Oracle’s suggestions if they insist on larger purchases.
  5. Review Cloud Services Agreements Carefully: Oracle’s annual flex model requires a commitment to a yearly consumption level. If not fully utilized, this investment is lost. Thus, it’s better to under-commit to avoid waste, as the discounts obtained for over-purchasing are rarely justified.
  6. Alternative Options to Oracle Consulting for Implementation: Oracle Consulting is often criticized for being overpriced and underperforming. Always compare their offer with a competitive bid from a non-Oracle consulting firm to ensure you’re getting the best value and expertise.
  7. Underestimation of Implementation Time and Year 1 Spend: A standard error is underestimating the length of implementation and the minimal spending in the first year, which can lead to wastage due to underutilized committed cloud services.
  8. Consider the Long-Term Impact of Terminating Licenses: Terminating your Oracle licenses means losing the right to use Oracle software on-premise. This can reduce your negotiating leverage when your Cloud at Customer contract expires. Keeping the licenses is generally a safer strategy.
  9. Leverage Tools for Oracle OCI Spend and Cost Management: Utilize tools like those offered by Redress Compliance to manage and track your Oracle OCI spending effectively, helping to optimize costs and ensure efficient usage

FAQ on Oracle Cloud at Customer

What are the hardware requirements for Oracle Cloud at Customer?

Oracle provides a dedicated hardware stack for Oracle Cloud at Customer, which includes computing, storage, and networking components. The exact hardware requirements depend on the customer’s specific needs.

How is Oracle Cloud at Customer different from other cloud solutions?

Oracle Cloud at Customer is a hybrid cloud solution that provides the benefits of a public cloud while maintaining complete control over data and applications. This is different from other cloud solutions that may not offer the same level of control or may require data to be stored in a public cloud.

What kind of support does Oracle offer for Oracle Cloud at Customer?

Oracle provides ongoing support and maintenance for Oracle Cloud at Customers, including security patching and upgrades. In addition, customers have access to Oracle’s support team for any issues or questions.

Can I run non-Oracle workloads on Oracle Cloud at Customer?

Oracle Cloud at Customer can run various workloads, including non-Oracle workloads. This makes it a flexible solution for a variety of business needs.

How does Oracle Cloud at Customer help with compliance?

Oracle Cloud at Customer provides a secure, on-premises environment that can help organizations meet regulatory compliance requirements for sensitive data and applications. This is because the customer retains complete control over their data and can customize the environment to meet specific needs.

How long is a contract for Cloud at customer?

The Oracle Cloud at-customer contract is for a minimum of 4 years.

What is the most common challenge when a customer wants to migrate to the cloud at customer?

Often, you provide Oracle access via your network so that they can administer and manage the system for you.

Should we terminate our existing Oracle licenses and move to cloud at customer?

It is highly unlikely, but every situation is unique. Some important considerations must be made before terminating on-premise licenses and moving to the cloud at the customer’s expense.

How to Implement Oracle Cloud at Customer

How to Implement Oracle Cloud at Customer

Step 1:

Understand Your Needs Before starting the implementation process, it’s crucial to understand your organization’s specific needs and requirements. This includes understanding the data type you will handle, the expected workload, and the particular Oracle applications you plan to use.

Step 2:

Choose the Right Model. Oracle Cloud at Customer offers different models, such as Exadata Cloud at Customer and Big Data Cloud at Customer. Choose the model that best suits your needs. For instance, Exadata Cloud at Customer is ideal for organizations that require a high-performance platform for running Oracle Databases.

Step 3:

Plan Your Implementation Create a detailed implementation plan. This should include a timeline, resource allocation, and a list of tasks to complete. It’s also important to identify any potential challenges that might arise during the implementation process and plan for how to address them.

Step 4:

Set Up Your Infrastructure Oracle will deliver the cloud to your data center through customer hardware. Oracle personnel will then install the hardware and configure the network connectivity.

Step 5:

Configure Your Environment. Once the infrastructure is set up, you must configure your environment. This includes setting up your Oracle databases, applications, and other necessary software. Oracle provides a web-based console for managing your Cloud Customer environment.

Step 6:

Migrate Your Data After configuring your environment, you can begin migrating your data to the Oracle Cloud at Customer environment. Oracle provides various tools and services to assist with data migration.

Step 7:

Test Your Environment Before going live, thoroughly test your environment to ensure everything works as expected. This includes testing your applications, databases, and network connectivity.

Step 8: Go Live

Once testing is complete and everything works correctly, you can go live with your Oracle Cloud at Customer environment.

Step 9: Monitor and Optimize

After going live, continuously monitor your environment to ensure optimal performance. Oracle provides various tools for monitoring and managing your Cloud at Customer environment. Regularly review your usage and performance metrics and make any necessary adjustments to optimize your environment.

Expert Advice on Oracle Cloud at Customer

Oracle Cloud at Customer - Expert Advice

Additional Oracle Cloud at Customer FAQs

1. What are the setup costs for Oracle Cloud at Customer?

Setup costs vary depending on your current infrastructure and Oracle hardware and software requirements. Oracle consulting is mandatory and depends on the size of your purchase, but expect to pay approximately $100,000. Then, for every server, there is a hardware cost, and the number of workloads will impact the cloud services purchase.

2. How does it integrate with other cloud environments?

Oracle Cloud at Customer is designed to seamlessly integrate with various cloud environments, facilitating hybrid cloud strategies.

3. What security certifications does it hold?

It adheres to major security standards, but specific certifications should be confirmed with Oracle for the latest updates.

4. Is there industry-specific customization available?

Yes, it offers customization options to meet the unique needs of different industries.

5. What is the process for large-scale data migration?

Oracle provides tools and services to facilitate the migration of large datasets, ensuring minimal disruption.

6. What disaster recovery solutions are available?

It offers comprehensive disaster recovery solutions, including data replication and backup services.

7. How does it help with global data protection compliance?

It supports compliance through data residency options, encryption, and advanced security features.

8. Are there performance benchmarks available?

While Oracle provides performance information, specific benchmarks should be directly consulted with Oracle.

9. How is data sovereignty ensured?

Data sovereignty is ensured through local data processing and storage capabilities.

10. What are its scalability features?
It is highly scalable and designed to accommodate organizational growth and data expansion.

11. How does it manage peak loads?

Oracle Cloud at Customer employs various technologies to efficiently manage and distribute peak loads.

12. What training and support are offered?

Oracle offers comprehensive training and support services to facilitate effective use of its platform.

13. How are updates and maintenance handled?

Updates and maintenance are managed by Oracle with minimal disruption, allowing scheduling according to business needs.

14. What should be considered for exit strategies?

Exit strategies include data migration planning, understanding potential costs, and ensuring data integrity during transitions.

15. How does it drive innovation and digital transformation?

It enables innovation by providing the agility of cloud computing within a secure, on-premises setup, facilitating rapid development and deployment of new services.

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Author

  • Fredrik Filipsson

    Fredrik Filipsson brings two decades of Oracle license management experience, including a nine-year tenure at Oracle and 11 years in Oracle license consulting. His expertise extends across leading IT corporations like IBM, enriching his profile with a broad spectrum of software and cloud projects. Filipsson's proficiency encompasses IBM, SAP, Microsoft, and Salesforce platforms, alongside significant involvement in Microsoft Copilot and AI initiatives, enhancing organizational efficiency.

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