Series: Setting up Oracle Cloud VM - I
✅ Step 1: Oracle Cloud Account and Compartment Setup
🎯 Goal:
Create a structured Oracle Cloud environment with proper compartments for isolation, VCNs for networking, and prepare for deploying VMs and other resources.
🔹 1.1. Sign up & Initial Login
If you haven’t already:
- Sign up at https://www.oracle.com/cloud/free/
- Wait for verification and login into the OCI Console
🔹 1.2. Concepts: Tenancy, Compartment, Region
Term | Meaning |
---|---|
Tenancy | Your root Oracle account; like an AWS organization |
Region | Geographic location (e.g., Mumbai, Frankfurt). Choose nearest for latency |
Compartment | Logical container for resources (like AWS folders); helps with access control and organization |
✅ Compartment is important in DevOps certs — helps in organizing environments (dev, prod, backup).
🛠️ Action: Create a New Compartment
- Go to: ☰ Identity & Security → Compartments
- Click Create Compartment
- Name it:
homelab
- Description:
My free-tier home server lab
- Parent: Keep as root
This will help you keep all your project resources isolated and organized.
🔹 1.3. (Optional but Good Practice): Tag Namespace
Oracle allows tagging resources for cost tracking and automation.
🛠️ Steps:
- Go to Governance & Administration → Tag Namespaces
- Create a tag namespace like
project
, and a key likeenv
- Use
project=homelab
,env=dev
on future resources
📘 Certification Insight:
In the OCI DevOps Specialist exam, you are expected to:
- Know how to organize resources using compartments
- Use tags for cost and policy control
- Use VCNs and subnets for secure networking
✅ Summary So Far
Task | Done? |
---|---|
OCI Free Tier account created | ✅ |
Logged into Console | ✅ |
Created compartment homelab | ✅ |
Optional tag namespace project:env | ⬜ |
✅ Creating compartments is 100% free in Oracle Cloud.
🔹 Why It's Free:
- Compartments are purely a logical organizational layer, like folders or tags.
- They don’t consume any compute, storage, or networking resources.
- You can create dozens of compartments without affecting your Free Tier limits.
🧠 Why Use Compartments (even in Free Tier)?
- Helps you separate personal vs project vs experimental resources
- Makes cleanup and cost tracking easier
- Essential for setting fine-grained IAM policies (important for Oracle DevOps certification)
- Can assign different users/permissions per compartment
🔐 Certification Tie-In:
In the OCI DevOps certification, you're expected to:
- Use compartments to manage environmental isolation
- Apply policy-based access controls per compartment
- Use them with CI/CD pipelines, dev/test/prod environments
✅ So go ahead and create that homelab
compartment — it’s best practice and completely free.
✅ Adding Tag Namespace with keys

Perfect — let’s set up a Virtual Cloud Network (VCN), which is the foundation for securely connecting your VMs and services in Oracle Cloud.
See you in next part: [[002 Creating new OCI VCN]]