Oracle is betting heavily on its cloud business to carry the company into its next decade of growth. During a meeting with analysts this week, executives outlined an ambitious forecast: by fiscal year 2030, Oracle expects to generate 225 billion dollars in total revenue, with nearly three-quarters coming from its cloud infrastructure division.
Clay Magouyrk, head of Oracle Cloud Infrastructure, said the company’s latest wave of bookings reflects a wide customer base. He pointed to a recent 20 billion dollar agreement with Meta Platforms as one of several major deals signed last quarter. Magouyrk emphasized that Oracle’s new commitments are not limited to OpenAI, which has often dominated headlines about the company’s cloud expansion.
Doug Kehring, Oracle’s chief financial officer, told analysts that cloud infrastructure alone could bring in about 166 billion dollars by 2030. That estimate surpasses current Wall Street projections and signals a confident push toward a more AI-driven future.
In recent months, Oracle has signed hundreds of billions of dollars in long-term cloud contracts. Among them is a 500 billion dollar initiative with OpenAI to erect five new data centers. The company said it recorded 65 billion dollars in new bookings within a single month, a sign of accelerating demand for high-performance computing power across the tech industry.
Despite the optimism, investors remain cautious. Oracle’s shares rose during trading but dipped after hours as markets weighed concerns about costs. Analysts expect profit margins for AI-related infrastructure to fall between 30 and 40 percent, lower than those for traditional software. High spending on power, hardware, and real estate continues to pressure returns.
Still, Oracle argues that its long-term contracts provide financial stability and predictable income. Executives said they only pursue projects that meet internal profit benchmarks.
The company’s recent partnership with Meta highlights how quickly infrastructure demand is shifting. As the race to develop advanced AI accelerates, Oracle sees itself as a key supplier of computing capacity.
