Oracle Adopts Various Trends In The Database Software Market
Latest trends in the database software market include shift to offline network connectivity, subscription revenue model, and increased focus on database security. Oracle, which is among the top five companies in the database software market, has implemented all these trends in its operations.
Database software companies are increasingly investing in database software which can be accessed without network connectivity to improve the customer’s convenience and experience. The shift to make applications more responsive and less dependent on network connectivity, and the trend of offline usage or less dependency on the network is gaining popularity. Applications nowadays are kept on local databases or a copy of the database is made over cloud onto a local device and synced whenever there is a network connectivity. This allows faster and responsive applications which are functional even when there is no or limited internet connectivity. Companies such as Oracle, as well as Microsoft and Realm, have mobile versions of their database software, which can be accessed with limited network connectivity.
In order to reduce maintenance cost and gain customers from small and medium sized companies, database software vendors are gradually shifting towards a subscription revenue model. According to a statement by Oracle, the company’s DBaaS solution can be leveraged by businesses to reduce up to 35% of the costs of a similarly configured on-premises database platform, by eliminating all of the associated management and labor required to maintain an onsite database. Market players are adopting this model to cater to companies working on single projects, and small to medium sized companies, thus helping them reduce their expenditure. For instance, in October 2018, Oracle launched Oracle Subscription Management, which integrates front and back office business processes on one platform.
Database software manufacturers are increasingly investing in security measures in order to protect data. Data privacy and security risks can be a major restraint on the growth of the global database software market. During November 2019 alone, there were reported cases of more than 1 billion breaches, most of them caused due to one leaked database. Understanding this risk, database software companies are increasingly investing in security of databases and are trying to make the cloud a protected place to store sensitive information. Companies such as Oracle and Microsoft are increasing investments in database security to protect data. Oracle’s database software claims to offer various levels of security for database protection, including encryption.
The global database software market is expected to grow from $78,722 million in 2019 to $117,370 million in 2023 at a compound annual growth rate (CAGR) of 10.5%. By 2030, the market is expected to reach a value of $196,192 million.