IaaS as a Stepping Stone: Why It’s the Perfect Interim Strategy for Legacy Oracle Customers

In the rapidly evolving enterprise technology landscape, organizations relying on legacy Oracle applications—like Oracle E-Business Suite (EBS), PeopleSoft, JD Edwards (JDE), or Hyperion—face a growing sense of urgency. With end-of-support deadlines looming and the pressure to modernize increasing, many businesses are caught in a strategic dilemma: Should they move directly to Oracle SaaS, or is there a more gradual, risk-mitigated approach?

Enter Infrastructure-as-a-Service (IaaS)—a compelling, pragmatic middle ground that offers immediate modernization benefits without the complexity and disruption of a full SaaS migration. For Oracle customers not yet ready to overhaul their core business systems, IaaS provides a powerful stepping stone toward cloud transformation.

According to Gartner, despite the push toward SaaS and PaaS, IaaS still serves as a critical stepping stone for modernization—supporting lift-and-shift workloads while enabling gradual transformation.

The Case for IaaS: Where Strategy Meets Flexibility

Migrating to IaaS allows enterprises to shift their existing Oracle workloads to cloud platforms like Oracle Cloud Infrastructure (OCI), AWS, or Azure. This “lift-and-shift” approach retains the current application architecture while replacing aging on-premises infrastructure with more scalable, secure, and cost-effective cloud infrastructure.

The beauty of this model lies in its balance of control and innovation. Enterprises keep their familiar applications and customizations intact while reaping cloud benefits such as reduced hardware costs, improved disaster recovery, and enhanced cybersecurity.

Why Many Enterprises Aren’t Ready for SaaS (Yet)

While Oracle SaaS (ERP, HCM, EPM, SCM) delivers transformative capabilities, including continuous innovation and embedded AI, a full SaaS migration is a major undertaking. It requires extensive business process reengineering, change management, and often, a significant budget allocation.

Here are some common reasons organizations hesitate:

• Deep customizations in legacy systems that don’t map well to SaaS.
• Limited internal bandwidth or competing IT priorities.
• Compliance mandates that necessitate controlled environments.
• Ongoing M&A activity creating instability in business structures.
• Financial constraints delaying large-scale digital initiatives.

IaaS provides a low-disruption modernization path while these challenges are addressed—offering breathing room and strategic agility.

The Business Value of IaaS for Oracle Workloads

So, what exactly does moving to IaaS unlock for Oracle users?

1. Reduced IT OverheadMaintaining aging on-prem infrastructure is resource-intensive and costly. IaaS eliminates the need for physical hardware, data center space, and associated maintenance, freeing up IT staff for strategic work.
2. Improved Performance & ScalabilityCloud platforms offer high-performance computing with elastic scalability. This means your systems can manage spikes in demand and future growth without expensive hardware investments.
3. Enhanced Security & ComplianceMajor IaaS platforms provide enterprise-grade security features—including encryption, identity management, and threat detection—far superior to most on-prem environments. This is especially crucial as cyber threats continue to rise.
4. Business Continuity & Disaster RecoveryIaaS significantly improves your disaster recovery posture. Built-in redundancy, data backups, and failover mechanisms ensure that business operations remain resilient—even during unexpected disruptions.
5. Foundation for Future SaaS TransitionMost importantly, IaaS lays the groundwork for a future move to SaaS. It prepares your architecture for modular modernization while giving stakeholders time to plan, align budgets, and manage change.

Real-World Example: Strategic Lift-and-Shift to IaaS

A global communications infrastructure provider that needed to optimize Oracle license costs, reduce its on-prem IT footprint, and prepare for divestiture-driven restructuring. A full SaaS move was not viable immediately—but staying on-prem was even riskier.

Datavail, an Oracle partner and Cloud Excellence Implementer, helped the client lift and shift Oracle EBS from on-prem to OCI, then to AWS—preserving operations while driving down infrastructure and support costs. With this strategy, they:

• Saved $1.5M+ annually through smarter licensing and infrastructure.
• Maintained Oracle EBS continuity during complex business transitions.
• Set the stage for a phased Oracle SaaS adoption plan.

This is the kind of incremental innovation that reduces risk while delivering measurable ROI.

How Datavail Makes IaaS Work for Oracle Customers

Not all IaaS migrations are created equal. The real value lies in how you plan, execute, and optimize the move.

Datavail has deep expertise in hybrid cloud architectures, Oracle workload migration, and long-term managed services. We partner with enterprises to:

• Assess infrastructure readiness and cloud fit.
• Optimize application configurations post-migration for performance and cost.
• Manage cloud environments with 24×7 monitoring, security, and automation.
• Design future-proof roadmaps that align IaaS with SaaS aspirations.

Whether your environment is Oracle EBS or PeopleSoft-heavy, Hyperion-centric, or a blend of legacy tools, we bring a structured, tailored approach to ensure continuity and scalability.

Download our latest whitepaper, “Navigating the Future: A Strategic Guide for Enterprises Using Legacy Oracle Applications,” to gain practical insights into each modernization path—including strategic fit, pros and cons, and actionable next steps.

Ready to Take the First Step?

Transitioning to the cloud doesn’t have to be a leap of faith. With IaaS, you gain the flexibility to modernize your Oracle landscape on your terms—reducing risk, cutting costs, and opening doors to future innovation.

Still unsure where to start? Let us make it simple.

Start with Datavail HealthBoost—a comprehensive health check of your Oracle environment. We will assess your security posture, performance gaps, and cloud readiness to help you chart a clear, data-driven path forward.

Book your HealthBoost Assessment today and explore how IaaS can be your launchpad to transformation.