How Russian business is replacing Oracle and Microsoft DBMS

The decision of Oracle and Microsoft to curtail business in Russia after the start of a special operation in Ukraine affected an even wider range of companies than the departure of the developer of accounting and management (ERP) systems SAP. Oracle and Microsoft are the creators of popular database management systems (DBMS), and almost every company has databases of sales, products, purchased raw materials, employees, customers, transactions. DBMS are needed for safe and reliable data storage, organizing access to them, this is the basis of almost any information system, since everyone works with data, explained Renat Lashin, executive director of the Domestic Soft Association.

At the end of 2019, the TAdviser analytical center polled 100 IT directors of state institutions, large public and private companies, which DBMS they use. Judging by the respondents’ answers, 81% of organizations have implemented Oracle DBMS, 64% – Microsoft SQL (many companies have installed Oracle and Microsoft software). 70% of respondents reported that they plan to switch to domestic software within three years. The main motives are the implementation of state directives. Decree No. 1594 dated January 1, 2018 prohibits the purchase of imported software for state and municipal needs. It is allowed to buy Western software only if the foreign software does not have a Russian analogue.

Now the transition plans have become even more urgent. On March 30, Russian President Vladimir Putin signed a decree banning government procurement of foreign software for critical infrastructure from March 31, 2022 (these are information systems and telecommunications networks that are critical for key areas of activity of the state and society: healthcare, industry, communications, transport, energy, financial sector and municipal economy) without the consent of the federal executive body. And since 2025, the decree generally prohibits government customers from using foreign software in critical infrastructure.

But many of them have already managed to invest in imported software, for example, they bought Oracle. According to the public procurement portal, in 2019-2021. state-owned companies and institutions made 512 purchases of Oracle software and hardware, as well as services for their implementation and support. Oracle sells not only software, but also hardware systems Exadata – a line of database machines manufactured by Oracle Corporation, operating under the control of the Oracle Database database management system.