Oracle is spending a lot on its high-performance computing cloud services

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Oracle is rolling out new offerings which should be very competitive to other cloud vendors. The new offering focusses on high performance cloud computing which is targeted towards customers who need high power for apps that deal with things like AI, video rendering or 3D visualization.

The company is bringing out a service that gives users cloud instances of low-power Arm processors, commonly used in mobile devices. Oracle is not even close to competing with cloud leaders like AWS, Azure, or Google. That is why it needs to create strong offerings to close the gap.

Oracle could catch up

Even with the difference between Oracle and other leaders, Gartner reports that the company has made substantial year-over-year gains and that their cloud business is in an excellent position to handle broad ‘lift-and-shift cases’ as well as hybrid workloads.

Currently, Oracle has 25 regions worldwide, with plans to take that number to 35 by 2021. Karan Batta, the VP of product management at Oracle Cloud, confirmed this plan.

Oracle said that by early 2021, they would offer HPC compute instances, which will have their basis on Intel’s 10-nanometer ‘Ice Lake’ processors. The hope is that they will drive performance and go above the performance levels of the current X7 HPC processors.

A sweet deal

In May, Oracle promised to deliver instances based on Nvidia’s A100 GPUs, which have 20 times the performance of Volta GPUs, and they are delivering. The instances will be available in the U.S., Europe, Middle East, Africa, Japan, and the Asia-Pacific region.

The on-demand price is set at $3.05 per GPU per hour. Oracle says this is much cheaper than what the competition is charging for older Nvidia technology. Oracle will announce their E4 platform early next year, using the next generation of AMD CPUs.

Also read: Oracle expands next generation cloud in Europe