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Oracle Shifting its World HQ to Nashville to Bring Renewed Focus on Healthcare

Written by : Aishwarya Sarthe

May 2, 2024

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The decision shocked many, including Austin city officials and Texas state leaders, as Oracle had moved its headquarters from Silicon Valley to Austin in 2020.

In a surprising move, software giant Oracle has planned to relocate its world headquarters to Nashville, Tennessee, signaling a strategic shift towards strengthening its presence in the healthcare industry.

The decision shocked many, including Austin city officials and Texas state leaders, as it hasn't been much time since Oracle had moved its headquarters to Austin from Silicon Valley in 2020.

During a fireside chat with Bill Frist, former US Senate majority leader and founder of Frist Cressey Ventures, Oracle chairman, Larry Ellison explained at the Oracle Health Summit, "It's the center of the industry we're most concerned about, which is the healthcare industry."

Ellison further elaborated on the company's plans, stating, "We're moving a huge campus to Nashville, which will ultimately be our world headquarters."

Nashville's Role as a Healthcare Hub

Nashville's prominence in the healthcare sector makes it an attractive location for Oracle's headquarters. The city is home to major hospital chains like HCA Healthcare and Community Health Systems, along with over 900 healthcare startups and 16 publicly traded healthcare companies, generating significant annual revenue.

According to Ellison, Oracle's decision is not merely about establishing a corporate campus but also about creating a park-like environment focusing on community well-being.

He emphasized, "What we're building is a park. It's a park first that has buildings in it."

The campus will also include a community clinic, serving as a platform to deploy the latest versions of Oracle's software.

Ramping Up Healthcare Focus & Cloud Services

Oracle's relocation to Nashville aligns with its strategy to expand its footprint in the healthcare industry, mainly through developing healthcare software products.

The company made a significant move in this direction by acquiring health IT and electronic health records software company Cerner in a $28 billion deal in June 2022, subsequently renaming the business Oracle Health.

Ellison highlighted the company's focus on growing its cloud business in healthcare, with efforts to transition Cerner's EHR to the cloud and enhance core clinical applications. Oracle has invested extensively in this endeavor, facilitating the migration of over 1,000 Oracle Health EHR customers to Oracle Cloud Infrastructure.

In addition to enhancing clinical applications, Oracle prioritizes cybersecurity in healthcare.

The company introduced its "autonomous shield" initiative to simplify and accelerate migrations to Oracle Cloud Infrastructure, providing real-time threat detection, autonomous systems, and robust data encryption to protect against cybersecurity threats.

Advocating Cloud Migration for Critical Infrastructure

Ellison advocated migrating critical infrastructure industries, such as healthcare, to the cloud to enhance cybersecurity.

He stressed the importance of government incentives to facilitate this transition, stating, "If Cedars-Sinai wants to move to the cloud and secure that big hospital complex in Los Angeles, there should be financial incentives to encourage them."

Furthermore, Oracle's cybersecurity expertise proved beneficial in supporting companies affected by cyberattacks, such as the recent Change Healthcare incident. By diverting traffic and providing timely assistance, Oracle helped healthcare networks avoid payment disruptions, safeguarding billions of dollars in claims.

Oracle's relocation to Nashville marks a significant step towards consolidating its position in the healthcare industry, with a strong focus on cloud services and cybersecurity.


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