Oracle announced Snowflake AI Data Cloud will become a native first-party service on Oracle Cloud Infrastructure, expanding AI and data capabilities for enterprise customers. The Oracle and Snowflake partnership enables unified billing through Oracle Universal Credits and reduces egress costs while maintaining data security and governance controls.

Oracle and Snowflake Announce Strategic Partnership

Oracle has announced that Snowflake AI Data Cloud will be available as a native, first-party service on Oracle Cloud Infrastructure (OCI), marking a significant expansion of native AI and data services available to enterprise customers

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. This Oracle and Snowflake partnership positions Snowflake as the flagship AI data platform partner running as a first-party offering inside Oracle Cloud Infrastructure, giving organizations greater flexibility to accelerate enterprise AI initiatives and drive AI-powered innovation

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Streamlined Procurement and Unified Billing

Customers will be able to purchase, provision, and consume Snowflake on OCI directly through Oracle, with Oracle managing pricing, discounts, and billing to provide a single commercial relationship

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. The integration enables customers to use Oracle Universal Credits to consume Snowflake on OCI, simplifying procurement and allowing them to leverage their existing cloud commitments

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. This simplified pricing structure eliminates the complexity of managing multiple vendor relationships and provides organizations with more predictable cost management.

Enhanced Enterprise AI Capabilities

Clay Magouyrk, CEO of Oracle, emphasized that organizations are seeking faster, simpler ways to turn their enterprise data into business value with AI

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. By making Snowflake available as a native OCI service, Oracle gives customers more choice in the AI and data capabilities they can deploy while simplifying how they manage and pay for those services

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. Sridhar Ramaswamy, CEO of Snowflake, noted that AI has dramatically shortened the distance between enterprise data and real business value, and this partnership gives joint customers the power to turn their Oracle data estates into an AI-ready foundation with the governance and security to move confidently at scale

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Four Key Value Drivers for Organizations

Snowflake on OCI is designed to help organizations extract more business value from their enterprise data through four strategic approaches

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. First, it extends the power of Snowflake analytics capabilities closer to mission-critical enterprise data, with supported sources including Oracle Fusion Cloud Applications, Oracle NetSuite, Oracle Autonomous AI Database, MySQL HeatWave, and Oracle NoSQL database

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. Second, the integration accelerates analytics and Enterprise AI by enabling native data transfer through supported integrations, reducing the need for custom pipelines and speeding up the use of enterprise data for reporting, data engineering, machine learning, and AI insights

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Data Security and Cost Optimization

The third value driver focuses on maintaining data security and governance, designed to help customers use Snowflake on OCI alongside their enterprise data while maintaining control over data access, use, and governance

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. Fourth, the integration reduces egress costs by enabling seamless data movement within OCI, helping customers access their enterprise data faster while reducing cross-cloud data movement and associated egress costs

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. This cost optimization becomes increasingly important as organizations scale their AI initiatives and move larger volumes of data.

Implications for Enterprise AI Adoption

This strategic partnership signals a broader industry trend toward integrated cloud ecosystems that reduce friction in deploying AI capabilities. Organizations can now leverage Oracle's comprehensive portfolio of cloud infrastructure, AI, databases, and enterprise applications alongside Snowflake's analytics and AI capabilities without managing complex multi-cloud architectures

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. Watch for how this integration influences enterprise AI adoption rates and whether other cloud providers follow with similar first-party service integrations to accelerate enterprise AI initiatives.

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