Oracle and Microsoft Join Forces to Modernize Manufacturing Supply Chains

Oracle (ORCL, Financials) and Microsoft (MSFT, Financials) unveiled an integration framework to improve manufacturing supply chains through data connectivity and automation. The effort was announced Wednesday at Oracle's AI World in Las Vegas.

Oracle Fusion Cloud SCM integrates with Azure IoT Operations and Microsoft Fabric. It lets manufacturers automatically respond to production changes in Oracle's cloud applications using real-time data from factory sensors and equipment.

The interface would provide safe data flow between factory operations and enterprise systems, automated business triggers like maintenance or order updates, and common deployment templates to simplify industry adoption, according to the firms.

Oracle's vice president of supply chain strategy, Vikash Goyal, said the partnership supports the company's "Smart Operations" concept of real-time data driving speedier decision-making. Yitzhak Kesselman, Microsoft's corporate vice president of communications and real-time analytics, said the integration will enable manufacturers respond on data in the moment, enhancing supply chain efficiency and coordination.

Oracle launched the OCI Zettascale10 supercomputer and AI Data Platform to enable organizations build and integrate generative AI applications. With $59.02 billion in revenue, the company attracts enterprise clients like PwC and AI startups like Luma AI and Baseten.

Oracle's stock remained above fair value estimates, indicating investor confidence in its cloud and AI development strategy, analysts said. The Microsoft partnership strengthens both businesses' enterprise AI and data infrastructure strengths.