Is Oracle Sliding?

Oracle said weak sales of its traditional database software licenses were made worse by a strong US dollar lowered the value of foreign revenue.

Shares of Oracle, often seen as a barometer for the technology sector, fell 6 percent to $42.15 in extended trading after the company’s earnings report on Wednesday.

Shares of Microsoft and Salesforce.com, two of Oracle’s closest rivals, were close to unchanged.

Daniel Ives, an analyst at FBR Capital Markets said that this announcement speaks to the headwinds Oracle is seeing in the field as their legacy database business is seeing slowing growth.

It also shows that while Cloud business has seen pockets of strength it is not doing as well as many thought,

Oracle, like other established tech companies, is looking to move its business to the cloud-computing model, essentially providing services remotely via data centres rather than selling installed software.

The 38-year-old company has had some success with the cloud model, but is not moving fast enough to make up for declines in its traditional software sales.

Oracle, along with German rival SAP has been losing market share in customer relationship management software in recent years to Salesforce.com, which only offers cloud-based services.

Because of lower software sales and the strong dollar, Oracle’s net income fell to $2.76 billion, or 62 cents per share, in the fourth quarter ended May 31, from $3.65 billion, or 80 cents per share, a year earlier.

Revenue fell 5.4 percent to $10.71 billion. Revenue rose 3 percent on a constant currency basis. Analysts had expected revenue of $10.92 billion, on average.

Sales from Oracle’s cloud-computing software and platform service, an area keenly watched by investors, rose 29 percent to $416 million.

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RedHat And Canonical Discuss Linux 4.0

Red Hat has been telling everyone  its plans to integrate the latest Linux 4.0 kernel into its products.

In a statement, a spokesman told us, “Red Hat’s upstream community projects will begin working with 4.0 almost immediately; in fact, Fedora 22 Alpha was based on the RC1 version of the 4.0 kernel.

“From a productization perspective, we will keep an eye on these integration efforts for possible inclusion into Red Hat’s enterprise portfolio.

“As with all of our enterprise-grade solutions, we provide stable, secure and hardened features, including the Linux kernel, to our customers – once we are certain that the next iterations of the Linux kernel, be it 4.0 or later, has the features and maturity that our customer base requires, we will begin packaging it into our enterprise portfolio with the intention of supporting it for 10 years, as we do with all of our products.”

Meanwhile, Canonical Head Honcho Mark Shuttleworth has confirmed that Linux Kernel 4.0 should be making its debut in Ubuntu products before the end of the year.

In an earlier note to The INQUIRER, Shuttleworth confirmed that the newly released kernel’s integration was “likely to be in this October release.”

The news follows the release of version 4.0 of the Linux kernel in a flurry of what T S Eliot would describe as “not with a bang but a whimper”.

Writing on the Linux Kernel Mailing List on Sunday afternoon, Linux overlord Linus Torvalds explained that the new version was being released according to schedule, rather than because of any dramatic improvements, and because of a lack of any specific reason not to.

“Linux 4.0 was a pretty small release in linux-next and in final size, although obviously ‘small’ is relative. It’s still over 10,000 non-merge commits. But we’ve definitely had bigger releases (and judging by linux-next v4.1 is going to be one of the bigger ones),” he said.

“Feature-wise, 4.0 doesn’t have all that much special. Much has been made of the new kernel patching infrastructure, but realistically that wasn’t the only reason for the version number change. We’ve had much bigger changes in other versions. So this is very much a ‘solid code progress’ release.”

Come to think of it, it is very unlikely that T S Eliot would ever have written about Linux kernels, but that’s not the point.

Torvalds, meanwhile, explained that he is happier with releasing to a schedule rather than because of any specific feature-related reason, although he does note that there have been four billion code commits, and Linux 3.0 was released after the two billion mark, so there’s a nice symmetry there.

In fact, back in 2011 the version numbering of the Linux kernel was a matter of some debate, and Torvalds’ lacklustre announcement seems to be pre-empting more of the same.

In a subsequent post Torvalds jokes, “the strongest argument for some people advocating 4.0 seems to have been a wish to see 4.1.15 – because ‘that was the version of Linux Skynet used for the T-800 Terminator.’”

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Oracle Launches OpenStack Platform With Intel

Oracle and Intel have teamed up for the first demonstration of carrier-grade network function virtualization (NFV), which will allow communication service providers to use a virtualized, software-defined model without degradation of service or reliability.

The Oracle-led project uses the Intel Open Network Platform (ONP) to create a robust service over NFV, using intelligent direction of software to create viable software-defined networking that replaces the clunky equipment still prevalent in even the most modern networks.

Barry Hill, Oracle’s global head of NFV, told The INQUIRER: “It gets us over one of those really big hurdles that the industry is desperately trying to overcome: ‘Why the heck have we been using this very tightly coupled hardware and software in the past if you can run the same thing on standard, generic, everyday hardware?’. The answer is, we’re not sure you can.

“What you’ve got to do is be smart about applying the right type and the right sort of capacity, which is different for each function in the chain that makes up a service.

“That’s about being intelligent with what you do, instead of making some broad statement about generic vanilla infrastructures plugged together. That’s just not going to work.”

Oracle’s answer is to use its Communications Network Service Orchestration Solution to control the OpenStack system and shrink and grow networks according to customer needs.

Use cases could be scaling out a carrier network for a rock festival, or transferring network priority to a disaster recovery site.

“Once you understand the extent of what we’ve actually done here, you start to realize just how big an announcement this is,” said Hill.

“On the fly, you’re suddenly able to make these custom network requirements instantly, just using off-the-shelf technology.”

The demonstration configuration optimizes the performance of an Intel Xeon E5-2600 v3 processor designed specifically for networking, and shows for the first time a software-defined solution which is comparable to the hardware-defined systems currently in use.

In other words, it can orchestrate services from the management and orchestration level right down to a single core of a single processor, and then hyperscale it using resource pools to mimic the specialized characteristics of a network appliance, such as a large memory page.

“It’s kind of like the effect that mobile had on fixed line networks back in the mid-nineties where the whole industry was disrupted by who was providing the technology, and what they were providing,” said Hill.

“Suddenly you went from 15-year business plans to five-year business plans. The impact of virtualization will have the same level of seismic change on the industry.”

Today’s announcement is fundamentally a proof-of-concept, but the technology that powers this kind of next-generation network is already evolving its way into networks.

Hill explained that carrier demand had led to the innovation. “The telecoms industry had a massive infrastructure that works at a very slow pace, at least in the past,” he said.

“However, this whole virtualization push has really been about the carriers, not the vendors, getting together and saying: ‘We need a different model’. So it’s actually quite advanced already.”

NFV appears to be the next gold rush area for enterprises, and other consortium are expected to make announcements about their own solutions within days.

The Oracle/Intel system is based around OpenStack, and the company is confident that it will be highly compatible with other systems.

The ‘Oracle Communications Network Service Orchestration Solution with Enhanced Platform Awareness using the Intel Open Network Platform’ – or OCNSOSWEPAUTIONP as we like to think of it – is currently on display at Oracle’s Industry Connect event in Washington DC.

The INQUIRER wonders whether there is any way the marketing department can come up with something a bit more catchy than OCNSOSWEPAUTIONP before it goes on open sale.

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Juniper Networks Goes OpenStack

Juniper and Mirantis are getting close, with news that they are to form a cloud OpenStack alliance.

The two companies have signed an engineering partnership that the companies believe will lead to a reliable, scalable software-defined networking solution.

Mirantis OpenStack will now inter-operate with Juniper Contrail Networking, as well as OpenContrail, an open source software-defined networking system.

The two companies have published a reference architecture for deploying and managing Juniper Contrail Networking with Mirantis OpenStack to simplify deployment and reduce the need for third-party involvement.

Based on OpenStack Juno, Mirantis OpenStack 6.0 will be enhanced by a Fuel plugin in the second quarter that will make it even easier to deploy large-scale clouds in house.

However, Mirantis has emphasized that the arrival of Juniper to the fold is not a snub to the recently constructed integration with VMware.

Nick Chase of Mirantis explained, “…with this Juniper integration, Mirantis will support BOTH VMware vCenter Server and VMware NSX AND Juniper Networks Contrail Networking. That means that even if they’ve got VMware in their environment, they can choose to use NSX or Contrail for their networking components.

“Of course, all of that begs the question, when should you use Juniper, and when should you use VMware? Like all great engineering questions, the answer is ‘it depends’. How you choose is going to be heavily influenced by your individual situation, and what you’re trying to achieve.”

Juniper outlined its goals for the tie-up as:

– Reduce cost by enabling service providers and IT administrators to easily embrace SDN and OpenStack technologies in their environments

– Remove the complexity of integrating networking technologies in OpenStack virtual data centres and clouds

– Increase the effectiveness of their operations with fully integrated management for the OpenStack and SDN environments through Fuel and Juniper Networks® Contrail SDN Controller

The company is keen to emphasize that this is not meant to be a middle finger at VMware, but rather a demonstration of the freedom of choice offered by open source software. However, it serves as another demonstration of how even the FOSS market is growing increasingly proprietary and competitive.

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IBM Goes Bare Metal

IBM has announced the availability of OpenPower servers as part of the firm’s SoftLayer bare metal cloud offering.

OpenPower, a collaborative foundation run by IBM in conjunction with Google and Nvidia, offers a more open approach to IBM’s Power architecture, and a more liberal licence for the code, in return for shared wisdom from member organisations.

Working in conjunction with Tyan and Mellanox Technologies, both partners in the foundation, the bare metal servers are designed to help organisations easily and quickly extend infrastructure in a customized manner.

“The new OpenPower-based bare metal servers make it easy for users to take advantage of one of the industry’s most powerful and open server architectures,” said Sonny Fulkerson, CIO at SoftLayer.

“The offering allows SoftLayer to deliver a higher level of performance, predictability and dependability not always possible in virtualised cloud environments.”

Initially, servers will run Linux applications and will be based on the IBM Power8 architecture in the same mold as IBM Power system servers.

This will later expand to the Power ecosystem and then to independent software vendors that support Linux on Power application development, and are migrating applications from x86 to the Power architecture.

OpenPower servers are based on open source technology that extends right down to the silicon level, and can allow highly customised servers ranging from physical to cloud, or even hybrid.

Power systems are already installed in SoftLayer’s Dallas data centre, and there are plans to expand to data centres throughout the world. The system was first rolled out in 2014 as part of the Watson portfolio.

Prices will be announced when general availability arrives in the second quarter.

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Raspberry Pi Making Moves

The Raspberry Pi Foundation has announced that its pint-sized computer has now sold a whopping five million units.

The announcement came via Twitter, where the official Raspberry Pi account boasted that the five million milestone makes it the big-selling computer manufacturer in the UK of all time.

Just confirmed the big news we’ve all been waiting for: we’ve now sold more than 5 million Raspberry Pis.

— Raspberry Pi (@Raspberry_Pi) February 17, 2015

We think that this means that in just under 3 years, we’ve gone from zero to being the biggest selling UK computer manufacturer ever. Yowza.

— Raspberry Pi (@Raspberry_Pi) February 17, 2015

This comes just two weeks after the firm announced sales of 4.5 million Raspberry Pi computers, suggesting that its latest model, the Raspberry Pi 2 Model B, has proved popular since it went on sale on 2 February.

Raspberry Pi said previously that it aims to ship three million units of the new model within 12 months, and Tuesday’s announcement suggests that it’s on track to smash that target.

The firm has yet to announce exactly how many Raspberry Pi 2 models have shipped, but we are likely to hear official figures in the next few weeks.

The second-generation device was unveiled at the beginning of this month, improving on the original Raspberry Pi with 1GB RAM and support for Microsoft’s Windows 10 operating system.

It also boasts expanded GPIO pins and advanced power management and connectivity, making it possible to connect up to four USB devices, including powered devices such as hard drives.

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U.S. And Britain Ramping Up Cyber Defense

The U.S. and Britain are increasing their collaboration to thwart digital threats. They are planning to launch more attacks against each other to test their defenses and scare away possible enemies.

The U.S. and the U.K. have been working together to prevent cyber attacks for some time, but are going to increase the collaboration. They will combine their expertise to set up “cyber cells” on both sides of the Atlantic to increase sharing information about threats and to work out how to best protect themselves and create a system that lets hostile states and organization know they shouldn’t attack, said U.K. prime minister David Cameron in an interview published by the BBC.

Cyber attacks “are one of the biggest modern threats that we face,” according to Cameron who is visiting Washington for talks with U.S. president Barack Obama. One of the topics high on the agenda is digital security.

The countries will increase the “war games” launched at each other to test defenses. “It is happening already but it needs to be stepped up,” Cameron said, adding that British intelligence service GCHQ and the U.S. equivalent NSA have know-how that should be shared more.

“It is not just about protecting companies, it is also about protecting people’s data, about protecting people’s finances. These attacks can have real consequences to people’s prosperity,” he said.

However, in order to protect companies and citizens better, increased snooping powers to track terrorists on social networks are necessary, said Cameron. He is planning to discuss this issue with Obama and U.S. companies including Google and Facebook.

The increased cooperation between the countries comes in the wake of the Sony hack and the apparent hacking of the U.S. Central Command’s Twitter account by ISIS (Islamic State of Iraq and Syria), which posted tweets threatening families of U.S. soldiers and claiming to have hacked into military PCs.

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Oracle Acquires Datalogix

On Monday, Oracle agreed to purchase Datalogix for an undisclosed sum, saying that together the companies will provide marketers with a richer understanding of what consumers do, say and buy, allowing them to measure the effectiveness of their different campaigns and advertising channels.

Oracle plans to link the Datalogix service, which provides the spending data to customers through a cloud-based tool, to its other cloud-based services via Oracle Identity Graph. This, it said, will allow it to connect consumer identities to build better profiles that can be used to personalize online and mobile services — and even to target them offline and via the TV.

It made no commitment to maintain the existing Datalogix product roadmap, saying that it was still reviewing its plans. The companies set no timeline for completing the deal, which they said must meet customary closing conditions including obtaining regulatory approval.

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Intel Shows New IoT Platform

Intel showed off a new platform which it claims makes it easier for companies to create Internet-connected smart products using its chips, security and software.

Intel’s platform is like Lego and based on the chipmaker’s components and software for companies to create smart, connected devices. The only difference is that you can’t enact your own Doctor Who scene from it.

Doug Davis, head of Intel’s Internet of Things business, said at a launch event in San Francisco it will make it a doddle to connect to data centres in order analyse data collected from devices’ sensors.

Intel’s chips should compute capability in end-point devices that scale from its highest performance Xeon processor to the Quark family of products.

Intel’s Internet of Things Group had $530 million in revenue in the September quarter. That accounted for just 4 percent of Intel’s total revenue in the quarter, but it grew 14 percent over the previous year, which was faster than the company’s PC business.

Dell, SAP, Tata Consultancy, Accenture and other companies are working with the new reference model, Davis said.

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Can Imagination Push IoT?

Imagination Technologies will take on the Raspberry Pi with the release of a single-board minicomputer for both Android and Linux developers.

In a bid to power a range of devices in the ever-growing world of the Internet of Things (IoT) space, the MIPS-based Creator CI20 can run both Linux and Android operating systems (OS) and is said to deliver both high performance and low energy consumption.

When it hits the market in January, the development board will target the likes of open source developers, the maker community and system integrators to provide them with tools and encourage them to create a wide range of applications and projects.

The Creator CI20 is based around a system on a chip (SoC) combining CPU, graphics and I/O circuitry, featuring an I/O connector block compatible with that of the Raspberry Pi, meaning it could be plugged into many of the same projects.

The board comes with a 1.2GHz MIPS32-based dual-core processor and 1GB of RAM with PowerVR SGX540 graphics for OpenGL 2.1 and ES 2.0 compatibility, meaning its capable of 1080p gaming at 30fps. It also features Ethernet connectivity alongside 802.11b/g/n Wi-Fi and Bluetooth 4.0 plus 4GB storage onboard.

While it’s easy to compare the Creator CI20 to the Raspberry Pi, Imagination’s executive vice president of marketing, Tony King-Smith, told V3.co.uk that the develop board is not intended as a direct rival.

“We’re not trying to compete with devices like Raspberry Pi and Arduino, which many developers will already have, we’re giving them more options, and we believe this is a pretty rich offering,” he said.

King-Smith said that the Creator CI20 is ideal for the IoT revolution because of its embedded wireless capabilities, but also because it is capable of running mature OS such as Linux and Android that support graphical user interfaces.

“This will make IoT interesting, whether you’re looking at a thermostat or a sensor or whatever, it’s a compelling user interface that gets people excited,” he added.

Imagination has also launched a Creator Programme alongside the developer board to stimulate an IoT ecosystem around the device.

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