‘Technology firms lose $16b revenue in two years’

‘Technology firms lose $16b revenue in two years’

‘Technology firms lose $16b revenue in two years’

FOR technology companies worldwide,
the last two years appeared not to have
been very rosy, as many of them were
said to have experienced some
downward trend in their revenue
targets.
These firms, which are mostly
international, may have lost about $16
billion in the last two years, resulting
from several economic meltdown
currently facing economies globally.
Making this disclosure at a press briefing
in Lagos to announce the planned
‘Oracle Cloud Day’ scheduled for
November 17, the Country Manager,
Oracle Nigeria, Adebayo Sanni, said the
firm will be riding on the success of the
recently held Oracle Open World in San
Francisco, USA, last month, which had
more than 50, 000 participants from
across the globe with over 100
participants from Nigeria.
Sanni said the relevance of cloud
technology for Nigerians cannot be over
emphasized because that is the future.
According to him, the various cloud
technology solutions and strategies being
churned out by Oracle gave it about
seven per cent growth, “this is even
when other big IT companies have in the
last two years suffered combined loses of
about $16 billion in revenue. In fact in
the last five years, we discovered that IT
spending have dropped significantly.”
According to him, it has become
important again to discuss cloud
strategies for business growth especially
for emerging countries like Nigeria,
stressing that lots of companies Chief
Executive Officers (CEOs) needed to get
their priorities right, by looking for
measures to enter new market, drive
revenue growth and survival in the
market that has become highly
competitive
“There is need for CEOs to look at the
future and this is where cloud actually
comes in. At the Open World, customers
were opened to what Oracle was doing
concerning cloud going into the next
decade. There we explained our cloud
strategies, which are Software As A
Service (SAAS); Infrastructure As A
Service (IAAS); Platform As A Service
(PAAS). Oracle is the only company
playing in these key areas. Lots of
announcements were made in terms of
key designed areas, which our strategy
was actually based on in terms of
driving cloud in the last 10 years. This
has also formed part of the reason why
we are organizing the ‘Oracle Cloud Day’
in Nigeria.
“We have changed it from just the Oracle
Day because we have come to realise that
we need to get people aware that the
future is cloud. It is coming up
November 17 in Lagos and we shall be
giving customers the opportunities to
drive their own agenda. It is really key
for us to introduce latest developments
in the cloud that would be beneficial to
this part of the globe. We are looking
forward to over 500 customers to be able
to share the future together as far as
cloud is concern”, he stated.
Sanni, who disclosed that Oracle has sold
about $450 million worth of cloud
solutions as at May 2015, said the
challenges with IT spend have to be
looked in two ways, which are ability to
drive agility and enter new market with
focus on driving revenue and survival.
He explained that survival means that
players like Oracle will need to look at
where their IT spend is going and value
coming from there, which centres
around operating model, which are the
technical depth and security.
“These have contributed significantly in
revenue drop for companies and apart
from this, the age of IT equipment in
many companies have also dropped
significantly, over 30 per cent. 80 per
cent of the budget actually spent on
maintenance and this will continue to be
a challenge for CEOS and CIOs and there
is also the issue of system failures.

Sanni