Oracle opens first cloud region in Africa

Oracle, a leading technology group, has announced the inauguration of its first Africa Cloud region in Johannesburg, South Africa, in response to the escalating demand for enterprise cloud services on the continent. Cherian Varghese, the Vice President and Managing Director of Technology in Africa at Oracle, shed light on the strategic decision and the potential impact of this milestone during an exclusive interview with CNBC Africa. Varghese highlighted the significance of selecting Johannesburg as the epicenter for Oracle's African operations, emphasizing the company's longstanding commitment to the region and its immense growth prospects. The choice to establish the cloud region in South Africa was propelled by the exponential increase in demand for data centers prompted by the pandemic-induced digital migration and adoption by businesses. The launch of the cloud region signals a transformative shift for Oracle's customers, especially those who previously hesitated to transition to cloud services swiftly. The move is expected to facilitate a surge in public sector and banking institutions' engagement, which had been cautious due to data regulatory concerns. Furthermore, Oracle aims to streamline this transition for its customers through specialized services such as 'lift and shift,' providing them with a seamless entry into the public cloud space. One of the key benefits for customers in South Africa is the enhanced data localization and compliance capabilities offered by the new cloud region. Previously, clients had resorted to cloud regions in Europe or the US, resulting in latency issues. With the launch of the Johannesburg cloud region, customers can expect superior performance, improved disaster recovery strategies, and the flexibility to opt for a hybrid cloud model, thereby optimizing their operational efficiency and data security. Oracle's competitive edge in the market lies in its cutting-edge technology, particularly the Oracle Cloud Infrastructure (OCI) - a generation 2 cloud platform renowned for its advanced security features. The company's extensive presence across various African countries, with over 13 to 15 offices, accentuates its capability to cater to a broader customer base, ranging from southern Africa to central and eastern Africa. Oracle further distinguishes itself by offering free training and certification programs, empowering local talents to upskill and capitalize on the burgeoning cloud opportunities. The expansion of data centers globally, from 37 to 44, underscores Oracle's rapid growth trajectory and its commitment to serving the evolving needs of its clientele. While South Africa currently hosts the 37th cloud region, Oracle is actively exploring potential locations in central and west Africa for future expansion. Additionally, the company's 'Dedicated Region Cloud Customer' model is gaining traction, offering small to medium businesses the opportunity to build their private cloud infrastructure, catering to the diverse demand for cloud solutions across the continent. The launch of Oracle's first Africa Cloud region not only signifies a significant milestone in the company's expansion strategy but also paves the way for accelerated digital transformation and job creation across the continent. With the burgeoning demand for cloud services and the imperative need for skilled professionals in cloud computing, the industry is poised for a substantial upsurge in talent development and employment opportunities, aligning with the fourth industrial revolution paradigm.