Oracle wins deal with Zoom

The demand and supply graph of video calling services saw a whole new level because of the global lockdown. Many companies are signing partnership deals to meet the demand. With this said, Zoom Video Communications Inc. said that it has started using Oracle Corp's cloud computing technology to help handle the surge in online video call volumes brought on by the novel coronavirus pandemic.

As IT, business corporations, and educational institutions shift to remote work and billions of people subject to stay-at-home orders seek ways to remain connected, Zoom has seen daily meeting participants skyrocket from 10 million in December to 300 million. But it has also experienced a backlash as the increased use exposed privacy and security flaws.

Zoom set out a 90-day plan to fix the security issues, but in the meantime, the drastic jump in traffic has required more computing power.

As Oracle wants to catch up with rivals such as Amazon.com and Microsoft that have greater market share, this deal is a big with for the company, and is selling a new generation of cloud technology after its first generation efforts failed to gain traction.

The size of the deal is not yet disclosed by Zoom and Oracle, but said traffic for "millions" of meeting participants is being handled by Oracle's cloud service and about 7 million gigabytes of Zoom data per day is flowing through Oracle servers.

"It's exciting to be able to come on to a platform and scale very rapidly," Zoom's Chief Technology Officer Brendan Ittelson says in an interview.