Known for its database software, Oracle has recently found success in the red-hot cloud computing market and is emerging as a key provider of AI computing capacity, competing against cloud leaders Amazon.com Inc, Microsoft Corp and Alphabet Inc’s Google. Earlier this summer, it signed an unprecedented deal with ChatGPT operator OpenAI for 4.5 gigawatts’ worth of data center capacity — enough energy to power millions of American homes. It also counts Nvidia and ByteDance’s TikTok as major cloud customers.
Oracle Corp shares gained the most since 1992 after the company gave an aggressive outlook for its cloud business, cementing the software maker’s place in the race to support demand for artificial intelligence computing.
The stock surged as much as 43% Wednesday mid-morning in New York, bringing its market valuation to US$969 billion ($1.24 trillion) and making co-founder Larry Ellison the world’s richest person, surpassing Elon Musk. AI-related stocks such as chip developer Nvidia Corp. and Asian suppliers also climbed.
