Oracle customers who want to pay for their use of Oracle(s orcl) databases or Fusion middleware by the hour will be able to do so from Verizon Cloud, slated to be broadly available this year.
This is a pretty important enterprise software deal for Verizon(s vz) which is billing its new cloud as a safe, secure, highly-available home for enterprise applications. Both Verizon and Oracle target big Fortune 1000 companies, and this option gives them a way to migrate their on-premises applications to a hybrid or fully cloud-based model over time.
And, importantly for Oracle shops, those customers can use their existing Oracle licenses on the Verizon cloud.
To be fair Oracle software can run on Amazon(s amzn) Web Services — also in a pay by the hour mode — and also on Microsoft(s msft) Windows Azure, although I’m not sure on the pricing increments there so stay tuned for updates.
John Considine, CTO of Verizon Terremark, conceded that there are other pay-by-the hour options for Oracle, but he said Verizon offers a much more complete and enterprise-ready set of Oracle capabilities. AWS focuses on Oracle Standard Edition database and not all the associated bells and whistles including the full Oracle Enterprise edition database and Real Application Clustering (RAC), all of which will be available from Verizon, he said.
What Verizon is doing is help those Oracle customers move some or all of their work off of physical CPUS and let them run Oracle across a spectrum from managed services to the existing Verizon Terremark enterprise cloud to the new super-duper Verizon cloud, he said. (Well, “super duper” is my term.)
Virtually all of Verizon-Terremark’s existing cloud customers use Oracle technology so this is a great fit, he added.
The move comes as Oracle is trying to build up its own cloud infrastructure repertoire, so this will be a fluid space. Oracle says it will be competing with as well as cooperating with big cloud providers including AWS and Verizon
Still, one area where big companies have hung back from cloud adoption is in their mission-critical databases — the software they run their ERP and other critical applications on — so this is an important alliance for both Oracle and Verizon. If they can prove it to be smooth sailing, both parties could prosper.
Note: This story was updated at 5:53 a.m. PST with John Considine’s comments.