Breaking
OCI: Oracle says it is now the cloud of choice for AI training and inference Backlog: Remaining performance obligations up 359% to ~$244B in FY26 Stargate: Oracle + OpenAI expand US data-center capacity past 5 gigawatts Leadership: Clay Magouyrk & Mike Sicilia named co-CEOs; Safra Catz to vice chair Capex: ~$50B committed to FY26 AI infrastructure buildout Ellison: "More cloud data centers than all our competitors combined" OCI: Oracle says it is now the cloud of choice for AI training and inference Backlog: Remaining performance obligations up 359% to ~$244B in FY26 Stargate: Oracle + OpenAI expand US data-center capacity past 5 gigawatts Leadership: Clay Magouyrk & Mike Sicilia named co-CEOs; Safra Catz to vice chair Capex: ~$50B committed to FY26 AI infrastructure buildout Ellison: "More cloud data centers than all our competitors combined"
Vol. XLIX  ·  Enterprise Desk The Company File NYSE: ORCL
Company Profile

Oracle Corporation

The company that taught the enterprise world to store its data - now building the buildings that AI runs in.

The red wordmark, Redwood Shores to Austin. Photographed as a study in permanence: a five-letter name that has quietly sat underneath banks, governments and hospitals for nearly half a century, and now sits underneath the AI boom too.

Oracle Corporation logo
Est. 1977
1977
Founded
~$244B
FY26 Backlog
175+
Countries served
~140K
Employees
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The Dispatch

The quiet giant underneath the loud revolution

For most of its history, Oracle has been the kind of company you never think about while depending on it constantly. In 2026, it stopped being quiet.

Oracle Corporation is the software company that most people have used without ever opening. When a bank clears a transaction, when a government agency processes a benefit, when a hospital pulls up a patient record or a retailer closes its books at quarter's end, there is a good chance an Oracle database or application sits somewhere in the pipeline. Founded in 1977 by Larry Ellison, Bob Miner and Ed Oates, the company built its fortune on a single, then-unfashionable idea: that data should live in a "relational" structure you could query with a language called SQL.

That idea, borrowed from an IBM research paper the industry had largely shrugged at, turned into one of the most durable franchises in enterprise technology. The Oracle Database became the system of record for large organizations - the place the important numbers are kept. Around it, Oracle assembled applications for finance, human resources, supply chain and customer management, and later bought its way into cloud software, hardware and even electronic health records.

What changed recently is the company's center of gravity. The database is still there, but the headlines now belong to Oracle Cloud Infrastructure, or OCI, and to the enormous data centers Oracle is building to train and run artificial intelligence. A company known for the unglamorous plumbing of business is suddenly one of the most talked-about names in the AI buildout - a landlord for the computers that power modern models.

By The Numbers

What Oracle is, in figures

48
Years in business
359%
FY26 backlog growth (YoY)
~$50B
FY26 AI capex plan
5+ GW
Planned Stargate capacity

Figures are drawn from public reporting and company statements; treat forward-looking capacity and capex numbers as approximate.

"Oracle will build more cloud infrastructure data centers than all of our infrastructure competitors combined."

- Larry Ellison, Chairman & CTO
What It Does

From the database out

At its core, Oracle sells three things: databases, business applications, and cloud infrastructure. The Oracle Database remains the flagship - a multi-model system that stores and serves the data enterprises consider most important. Its Autonomous Database extends that with automation that patches, tunes and secures itself, an idea that reads as strikingly modern in an era of software that manages software.

On top of the data layer sits a wide catalog of applications. Oracle Fusion Cloud covers enterprise resource planning (ERP), human capital management (HCM), supply chain and customer experience for large organizations, while NetSuite serves the same needs for small and mid-sized businesses. Through its Sun Microsystems acquisition, Oracle also stewards Java and MySQL, two of the most widely used technologies in all of software, and through the Cerner acquisition it runs Oracle Health, a major electronic health records business.

The newest engine is OCI, Oracle's second-generation cloud. Built later than its rivals', OCI was designed for high-performance workloads and has become a preferred venue for gigawatt-scale AI training and inference, including capacity contracted by some of the largest AI labs.

1979

Oracle Database

The flagship relational database, now including the self-managing Autonomous Database and Exadata systems.

2016

Oracle Cloud Infrastructure

Compute, storage and networking built for demanding workloads and large-scale AI training and inference.

2011

Fusion Cloud Applications

ERP, EPM, SCM, HCM and CX suites that run finance, HR and operations for large enterprises.

2016

NetSuite

Cloud ERP and business management for small and mid-market companies, all in one suite.

2010

MySQL & HeatWave

The world's most popular open-source database plus an integrated analytics and machine-learning service.

2022

Oracle Health

Electronic health records and healthcare technology, following the acquisition of Cerner.

Who Uses It

The customers you rarely see

Oracle's customer base is spread across nearly every corner of the economy: banks, insurers, telecoms, airlines, retailers, manufacturers, universities, hospitals and government agencies in more than 175 countries. Large institutions lean on Oracle's database and Fusion applications to run mission-critical operations; smaller businesses adopt NetSuite to manage finances and inventory without stitching together a dozen tools.

The most consequential new customers, though, are AI companies. As demand for training and inference compute exploded, Oracle signed large, multi-year capacity agreements - most prominently tied to the Stargate data-center buildout with OpenAI - that turned OCI into infrastructure for frontier models. That shift is what sent Oracle's remaining performance obligations, a measure of contracted future revenue, up 359% to roughly $244 billion in fiscal 2026.

Infographic

Where Oracle competes

One company, many battlegrounds

Illustrative view of Oracle's relative strength by segment - not a market-share chart
Databases
Core stronghold
Enterprise ERP
Leader
Cloud infra (OCI)
Fast-rising
AI compute
New frontier
Healthcare IT
Via Cerner

Bars are a qualitative reading of Oracle's positioning for readers, not measured market share.

The Difference

How Oracle stands apart

What Oracle brings

  • Owns the data layer enterprises trust most, then sells the apps and cloud around it
  • A single vendor spanning database, ERP, HR, health records and infrastructure
  • OCI engineered for heavy, high-performance and AI workloads
  • Multicloud reach - its database runs inside Azure and Google Cloud too
  • Founder-led technical strategy with deep enterprise sales relationships

Who it competes with

  • Cloud: AWS, Microsoft Azure, Google Cloud
  • Databases: Microsoft SQL Server, Snowflake, PostgreSQL
  • Applications: SAP, Salesforce, Workday, ServiceNow
  • Legacy enterprise: IBM
  • Its edge is bundling data, apps and compute; rivals often win on breadth of ecosystem or developer mindshare
The Model

How the money works

Oracle's business model has shifted from selling perpetual software licenses toward recurring revenue. The bulk of income now comes from cloud services and license support - subscriptions to cloud applications and infrastructure, plus maintenance on existing software. New software licenses, hardware and services fill out the rest. The AI era adds a newer line: large, multi-year contracts for cloud compute capacity, which show up as a swelling backlog long before the revenue is recognized.

That transition costs money. Oracle committed roughly $50 billion in fiscal 2026 capital expenditure to build data centers and buy the Nvidia and AMD hardware that fills them. It also announced significant workforce reductions as it reallocated spending toward infrastructure - a reminder that even a highly profitable company treats the AI buildout as an expensive bet rather than a sure thing.

Oracle says it is now recognized as the cloud of choice for both AI training and inference.

- Company statement, FY26
The Record

Nearly half a century, in milestones

1977

Founded as Software Development Laboratories

Ellison, Miner and Oates start the company after reading IBM research on relational databases.

1979

Oracle V2 ships

One of the first commercially available SQL relational databases - deliberately labeled "Version 2" so buyers wouldn't fear early bugs.

1986

Initial public offering

Oracle goes public, funding rapid growth of its database franchise.

2010

Acquires Sun Microsystems

Oracle gains stewardship of Java and MySQL and enters hardware engineering.

2016

OCI launches; NetSuite acquired

The second-generation cloud arrives, and Oracle buys a pioneer of cloud ERP for smaller businesses.

2022

Cerner acquisition

A roughly $28B deal takes Oracle into electronic health records as Oracle Health.

2026

Co-CEOs and the Stargate buildout

Clay Magouyrk and Mike Sicilia become co-CEOs, Safra Catz moves to vice chair, and Oracle expands AI data-center capacity with OpenAI past five gigawatts.

Curiosities

Details that stick

The name "Oracle" came from a CIA-funded project the founders had worked on at Ampex. The company itself was first called Software Development Laboratories, then Relational Software, before adopting the name of its best-known product.

Larry Ellison, still Oracle's Chairman and Chief Technology Officer in his 80s, has remained unusually hands-on with technical strategy for a company this size - and once owned most of the Hawaiian island of Lanai. In 2020 Oracle moved its headquarters from Redwood Shores, California to Texas.

And that Autonomous Database, marketed years ago as a system that runs and repairs itself, now looks almost prescient: in a moment when the industry talks constantly about "agentic" software acting on its own, Oracle had shipped a version of the pitch well before it was fashionable.

Watch

Interviews & product demos

FAQ

Common questions

What does Oracle do?

Oracle builds enterprise technology: its flagship database, cloud applications (ERP, HCM, CX, NetSuite), and Oracle Cloud Infrastructure for compute, storage and AI workloads.

Who founded Oracle and when?

Larry Ellison, Bob Miner and Ed Oates founded the company in 1977. It was later renamed Oracle after its flagship product.

Where is Oracle headquartered?

Oracle relocated its headquarters to Austin, Texas in 2020, after decades in Redwood Shores, California.

What is Oracle Cloud Infrastructure (OCI)?

OCI is Oracle's cloud platform for compute, storage and networking, increasingly used for large-scale AI training and inference, including capacity for major AI labs.

How does Oracle make money?

Primarily through cloud services and license support subscriptions, plus software licenses, hardware and services - increasingly weighted toward recurring cloud and AI infrastructure revenue.

Directory

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Profile compiled by YesPress Newsroom · Facts drawn from public sources · Forward-looking figures are approximate