LAS VEGAS - Oracle has unveiled a suite of new cloud infrastructure services aimed at expanding its global reach and enhancing artificial intelligence (AI) capabilities, the company announced today at Oracle CloudWorld. The latest offerings include Oracle Database@AWS, Oracle Database@Azure, Oracle Database@Google Cloud, OCI Dedicated Region, OCI Supercluster, and OCI Roving Edge Infrastructure, designed to meet the increasing demand for AI and cloud services worldwide.
The expanded Oracle Cloud Infrastructure (OCI) allows customers to deploy over 150 AI and cloud services at the edge, in their data centers, across multiple clouds, or in the public cloud. This flexibility is intended to cater to various requirements related to data privacy, sovereign AI, and low latency. Oracle claims to have the most extensive cloud presence globally, with 85 regions currently live and an additional 77 planned.
Mahesh Thiagarajan, Oracle's Executive Vice President of Cloud Infrastructure, emphasized the company's commitment to offering customers the choice and flexibility necessary to optimize their cloud services according to their business needs. The distributed cloud capabilities are touted to enable dedicated cloud deployment in a scalable footprint and facilitate AI infrastructure deployment anywhere.
Oracle has announced the OCI Supercluster, which it claims is the largest AI supercomputer available in the cloud, offering up to 2.4 zettaFLOPS of peak performance with up to 131,072 NVIDIA (NASDAQ:NVDA) Blackwell GPUs. This capacity reportedly surpasses other hyperscalers and the Frontier supercomputer in terms of GPU quantity.
In collaboration with NVIDIA, Oracle is also providing accelerated computing and generative AI services to support the creation and maintenance of sovereign AI models with robust data residency controls. The new OCI AI infrastructure includes NVIDIA L40S GPUs and Hopper architecture GPUs, available for order to support sovereign AI projects.
The upcoming OCI Dedicated Region25 configuration aims to bring AI and cloud services to a broader customer base with a smaller, scalable size starting at three racks, deployable within weeks. This region is designed to offer a public cloud's agility, economics, and scale within customers' own data centers.
Oracle's multicloud capabilities have been expanded through partnerships with AWS, Azure, and Google (NASDAQ:GOOGL) Cloud, allowing customers to access Oracle Database services directly within these hyperscalers' data centers. This initiative seeks to provide a seamless multicloud experience, combining Oracle Database services with those from other providers.
Additional enhancements include new versions of the OCI Roving Edge Device for remote AI inferencing and new HeatWave capabilities for generative AI and multicloud applications. OCI Generative AI (GenAI) Agents with retrieval-augmented generation (RAG) capabilities are now generally available, aiming to help customers leverage their data for business operations.
This news is based on a press release statement from Oracle. The company's forward-looking statements are subject to risks and uncertainties, and future product features or functionality are at Oracle's discretion.
In other recent news, Oracle Corporation (NYSE:ORCL) has been making significant strides in its financial performance and strategic partnerships. With a strong demand for its services, Oracle plans to double its capital expenditures in fiscal year 2025. The company anticipates double-digit revenue growth, with cloud revenue serving as the primary driver. Notably, Oracle's total revenue increased by 8% to $13.3 billion, with cloud product revenue rising by 21% to $5.6 billion, surpassing analysts' expectations.
Financial analysis firm Argus has maintained a Buy rating on Oracle and upgraded its price target from $159.00 to $176.00. Other analysts from Mizuho Securities, Stifel, and KeyBanc Capital Markets have also expressed confidence in Oracle's growth potential. KeyBanc, in particular, has maintained an Overweight rating on Oracle and increased the price target from $165 to $175.
Oracle's recent collaborations with leading hyperscale cloud providers, such as Uber Technologies Inc . (NYSE:UBER) and Amazon (NASDAQ:AMZN) Web Services, have enabled it to offer a variety of computing options. These include on-premise solutions, Oracle's own cloud services, private clouds, or other public clouds. This flexibility caters to diverse customer needs and helps Oracle defend its significant market share in database software.
The company has also made substantial strides in integrating artificial intelligence (AI) into its cloud services. Oracle's partnership with Uber Technologies Inc. is a significant development, with Uber leveraging Oracle Cloud Infrastructure (OCI) for over a million hourly trips. Furthermore, Oracle has launched several advancements in its services, including the Oracle Cloud Infrastructure (OCI) Generative AI (GenAI) Agents service, a new AI-centric application development infrastructure, termed generative development (GenDev), and new AI capabilities within its Oracle Fusion Data Intelligence suite.
InvestingPro Insights
In light of Oracle's recent announcement regarding their suite of new cloud infrastructure services, the company's financial metrics and market position offer a broader context for investors. According to InvestingPro data, Oracle boasts a significant market capitalization of $429.61 billion, underlining its substantial presence in the software industry. The P/E ratio stands at a high 40.17, suggesting that investors may be expecting continued growth and innovation from the company, in line with its latest push into AI and cloud services.
The company's revenue growth over the last twelve months as of Q1 2025 has been reported at 5.6%, indicating a steady increase that aligns with the expansion of its cloud services. Moreover, Oracle's commitment to shareholder returns is evident with its impressive track record of raising dividends for 11 consecutive years, a testament to its financial stability and confidence in sustained profitability. Additionally, the significant return over the last week of 10.76% reflects positive market reception to Oracle's strategic initiatives and potential growth prospects.
For investors seeking deeper insights, there are 21 additional InvestingPro Tips available, which include further analysis on earnings revisions, valuation multiples, and liquidity concerns. For example, with analysts revising their earnings downwards for the upcoming period, it is crucial for investors to consider how this might impact Oracle's financial performance in the near term. Furthermore, the current overbought status of the stock, as suggested by the RSI, may indicate a need for caution among potential investors.
Oracle's strategic moves in the cloud and AI arenas, as detailed in the company's announcements, are thus mirrored by its financial metrics and market performance. Investors can explore these facets in greater depth by accessing additional InvestingPro Tips at https://www.investing.com/pro/ORCL.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.