Oracle aims $1 bn revenue from SaaS and PaaS, to take on Salesforce.com

Oracle Chairman and CTO Larry Ellison said the company is aiming to create $1 billion revenue from new SaaS and PaaS business in calendar 2015.

Earlier, Salesforce.com announced that it also expects to add about $1 billion of new SaaS and PaaS business this year.

Oracle Chairman and CTO Larry Ellison said: “Salesforce.com has announced that it also expects to add about $1 billion of new SaaS and PaaS business this year. So it’s going to be a close race who sells more in the cloud this year, us or them.”

Larry-Ellison

Oracle said it posted flat growth in Q3 fiscal 2015 revenue at $9.3 billion. The flat growth was mainly due to a strong US currency.

Software and Cloud Revenues rose 1 percent to $7.2 billion.

Cloud software-as-a-service (SaaS) and platform-as-a-service (PaaS) grew 30 percent to $372 million.

Hardware Systems Revenues fell 2 percent to $1.3 billion.

Oracle operating income decreased 5 percent to $3.4 billion. Net income of Oracle fell 3 percent to $2.5 billion.

“In Q3, we sold nearly $200 million of new SaaS and PaaS business as measured in annual recurring revenue,” said Oracle CEO, Mark Hurd.

In Q4, Oracle expects to sell over $300 million of new SaaS and PaaS annual recurring revenue.

Oracle is aiming to sell $1 billion of new SaaS and PaaS business in calendar 2015.

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