Oracle’s Q1 FY 2026 earnings report, released on September 9, astounded Wall Street with a staggering 360% increase in Recurring Performance Obligations (RPO) to $455 billion, signaling strong demand for its cloud services. Despite earnings and revenue falling short of expectations, Oracle’s stock surged over 36%, boosting its market value by $250 billion—the largest gain since 1992. CEO Safra Catz forecasts a 77% growth in Oracle Cloud Infrastructure (OCI) revenue, projected to reach $18 billion in 2026 and $144 billion by 2030, driven by extensive capital expenditures aimed at enhancing AI capabilities and data center expansion. Strategic spending focuses on building new data centers, upgrading existing infrastructure, and enhancing geographic cloud presence. With a robust RPO and increasing partnerships with AI leaders, Oracle is poised to solidify its position in the competitive cloud market. This growth aligns with burgeoning demand for AI-driven workloads and underscores Oracle’s role in modern data management infrastructure.
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