Oracle owns and operates the underlying Exadata infrastructure layer used by Oracle AI Database@Azure, even though that infrastructure is physically located in Microsoft Azure data centers. Consequently, Oracle performs infrastructure-level maintenance, patching, security updates, monitoring, and lifecycle operations.
Oracle-managed Exadata infrastructure components include the physical database-server hosts, storage servers, network fabric, hypervisor or virtualization infrastructure, firmware, management components, and control-plane systems. Microsoft supplies the Azure data-center environment and associated Azure platform capabilities, but Microsoft support engineers do not maintain Oracle's Exadata hardware/software stack.
The customer retains responsibility for customer-controlled portions of co-managed database environments, including database configuration and, depending on service and maintenance model, guest VM, Grid Infrastructure, database homes, and database software lifecycle activities. Oracle has also introduced optional Oracle-managed database software update capabilities for applicable newer Exadata services, but that does not change responsibility for the underlying infrastructure.
Therefore, C correctly identifies Oracle's Cloud Infrastructure operations organization.
Study Guide reference: Provision and operate Oracle AI Database@Azure Resources — shared operational responsibility and Exadata infrastructure maintenance.
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