Oracle Secures Landmark $30 Billion Annual Cloud Contract, Potentially Linked to AI Infrastructure

Just one customer will double Oracle's cloud sales in 2028

Could it be an AI model builder? A Chinese e-tailer? Perhaps a TikTok mass migration Oracle has landed a mystery customer that will add more than $30 billion to the database giant's annual revenues, more than doubling the size of its current cloud business. "Oracle is off to a strong start in fiscal year 2026. Our multi-cloud database revenue continues to grow at over 100 percent, and we signed multiple large cloud services agreements including one that is expected to contribute more than $30 billion in annual revenue starting in fiscal year 2028," CEO Safra Catz said in a filing lodged with the US Securities and Exchange Commission on Monday. The database giant posted $57.4 billion revenue for FY 2025, and reported $24.4 billion of cloudy revenue for the year, $10.3 billion of which came from sales of infrastructure-as-a-service. The filing does not identify the mystery customer. However, on Oracle's Q4 2025 earnings call founder Larry Ellison mentioned a new customer which "said we'll take all the capacity you have wherever it is. It could be in Europe, could be in Asia, we'll just take everything." Or perhaps the giant new customer is Chinese e-tailer TEMU, which Oracle has announced is a customer. The database giant also remains a candidate to become TikTok's future American home. Oracle's approach to cloud is unique, as it happily places its own infrastructure in rival hyperscalers' datacenters. Those rigs mostly run Oracle databases, so customers of rival clouds can enjoy low-latency access to their preferred DB running in the environment Big Red has tuned for performance. Revenue from those deals is surging - in Q4 2025 it grew by 115 percent. "We currently have 23 multi-cloud datacenters live with 47 more being built over the next 12 months," Oracle Chair and CTO Larry Ellison said earlier this month, adding that he expected to continue growing the segment by triple digit percent headed into the 2026 fiscal year. Since ChatGPT's debut in 2022, Oracle has also become a go-to destination for GPUs for hire. As you may recall, in January, OpenAI announced its Stargate initiative to blow as much as $500 billion of mostly other people's money on AI infrastructure over the next four years with SoftBank, Oracle, and investment firm MGX playing key roles in the spending spree. To support Stargate, Oracle will reportedly shell out $40 billion to pack the first of OpenAI's Stargate datacenters with around 400,000 of Nvidia's GB200 superchips. Though, as we reported at the time, packing that many GPUs into a 1.2 gigawatt datacenter campus is easier said than done. Oracle had previously disclosed plans to deploy several hundred thousand GPUs from Nvidia and AMD. This includes a "zettascale" cluster of 131,072 Nvidia Blackwell GPUs along with an equal number of AMD Instinct MI350 accelerators. Not all of that, we'll note, is for OpenAI. Oracle has also signed cloud agreements with several model builders of note, including xAI and Meta. Even long-time archrival Microsoft has previously used Oracle for burst capacity for its AI-enhanced Bing search. ®

Oracle shares hit record high on $30bn cloud deal

Oracle's shares soared to a record high, as the database giant announced a $30bn cloud deal worth nearly triple the annual revenue it generates from its fastest-growing division. The tech group, which is valued at about $620bn, said in a regulatory filing on Monday that it had signed a deal that would start to bring in revenue in 2028. Oracle shares were up 4.9 per cent at midday in New York, but had earlier gained as much as 8.6 per cent to hit a record high of $228.22. The company's stock has risen by about one-third year-to-date. Chief executive Safra Catz said that the company was "off to a strong start" in fiscal year 2026 having signed "multiple large cloud service agreements". The company had previously touted a deal with Chinese ecommerce platform Temu. Oracle did not disclose the name of the customer, though founder Larry Ellison said in March that the he expected Oracle to sign its first contract with OpenAI and SoftBank's $500bn Stargate data centre project "fairly soon". The $30bn deal is a significant milestone for Oracle, representing nearly triple the $10.3bn in revenue the company generated from its data centre business in its 2025 fiscal year. The Austin, Texas-based company was slow to enter the cloud computing market but has experienced a sharp increase in demand for data centre infrastructure, up 52 per cent in its most recent quarter, as companies seek computing power to run artificial intelligence. Oracle has been one of the main beneficiaries from capacity constraints at rivals including Microsoft, with large tech companies ploughing hundreds of billions of dollars into the build-out of data centres to train and deploy artificial intelligence models. Oracle earlier this year became a partner in Stargate. It has pledged $7bn for the venture, but the bulk of financing is expected from other investors. The company is expected to spend roughly $40bn on Nvidia's high-performance computer chips to power the first series of data centres for OpenAI in Abilene, Texas, the Financial Times reported last month. Catz told investors earlier this month that Stargate was "still in formation" and that it had booked some revenue from OpenAI, but most of its growth was driven by contracts with other companies. OpenAI and Oracle did not immediately respond to requests for comment.

At $30 billion per year, Oracle secures one of the largest cloud deals in history

Serving tech enthusiasts for over 25 years. TechSpot means tech analysis and advice you can trust. What just happened? Oracle has secured a cloud computing contract with an undisclosed customer, expected to generate more than $30 billion in annual revenue starting in fiscal year 2028 - nearly three times the size of its current cloud infrastructure business. The company disclosed the agreement in a regulatory filing, marking it as one of the largest cloud deals ever announced. The identity of the customer behind this landmark deal remains undisclosed, but the scale is remarkable: the contract's yearly value is nearly triple the $10.3 billion that Oracle's cloud infrastructure business generated over the past year. This places the agreement among the largest in the history of cloud computing and signals a dramatic acceleration in Oracle's ambitions for the sector. Chief Executive Safra Catz told employees that Oracle is "off to a strong start" in its 2026 fiscal year, having signed "multiple large cloud service agreements." She also noted that revenue from Oracle's database products running on other cloud platforms has been growing at an annual rate of over 100 percent. Oracle has been steadily gaining ground in cloud services, particularly as demand for artificial intelligence infrastructure has surged. The company's data center business experienced a 52 percent increase in its most recent quarter, driven by organizations seeking the computing power required for AI workloads. Capacity constraints at rivals such as Microsoft have also contributed to Oracle's growth. While Oracle has not officially named the customer for its $30 billion deal, speculation has centered on its partnerships with OpenAI and SoftBank. Earlier this year, Oracle joined these companies in the $500 billion Stargate project, a massive initiative to construct advanced data centers across the US. The Stargate venture aims to expand the nation's AI infrastructure and is already under construction in Texas. Oracle co-founder Larry Ellison said in March that he expected the company to sign its first contract with OpenAI and Stargate "fairly soon," suggesting that the newly announced deal may be linked to this effort. Ellison has been vocal about Oracle's strategy to secure large-scale AI and cloud contracts, stating that the company has entered a new era in which billion-dollar deals are becoming routine. He emphasized that Oracle's cloud infrastructure offers faster and more cost-effective AI training than its competitors, making it an attractive partner for organizations with massive computing needs. Oracle's $30 billion deal not only marks a milestone for the company but also signals a broader shift in the cloud industry, where the race to provide infrastructure for artificial intelligence is driving unprecedented investment and competition. As Oracle continues to expand its partnerships and infrastructure, its role in powering the next generation of AI applications appears poised to grow even further.

Oracle signs a mystery huge cloud contract - one which could net it $30bn in revenue

Last year's total cloud revenue stood at $24.4 billion, so it's a big increase Oracle has signed a mystery cloud contract worth over $30 billion annually, which would effectively more than double the company's current cloud revenue. CEO Safra Catz explained that the company had gotten off to a "strong start" this fiscal year, having signed multiple large cloud agreements already. However, among those agreements is a mystery contract, according to a new SEC filing, said to be worth "more than $30 billion," leading investors speculating who the deal could be with. Although the contract was signed in the company's 2026 fiscal year, it won't come into play until 2028 - it's unclear whether further details could be shared before then. Among the most common suggestions for partners include OpenAI, which is working together with Oracle on Project Stargate, Temu, which recently became an Oracle customer, and TikTok, which uses Oracle Cloud in the US. Nevertheless, $30 billion in extra annual revenue is big news for Oracle. As of fiscal year 2025, Oracle's total cloud revenue was just $24.4 billion - less than this single mystery contract. Total company revenue was up 8% year-over-year to $57.4 billion. In other news, Oracle has also confirmed plans to build a $40 billion AI data center campus near Dallas for Project Stargate, supplying 400,000 Nvidia GB200 GPUs for the project. The company also plans to spend up to $500 billion in infrastructure by 2029 to meet demand. However, while the $30 billion contract will provide some stability for Oracle, capital expenditure increased threefold from $7 billion to $21 billion in just the space of one year. Looking ahead, Oracle predicts cloud infrastructure revenue growth of 70% by the end of this fiscal year, with company revenue climbing to an estimated $104 billion by fiscal 2029. TechRadar Pro has asked Oracle for more information on the contract, but we don't expect to get an answer.

Oracle wins cloud contract expected to generate $30B+ in annual revenue - SiliconANGLE

Oracle wins cloud contract expected to generate $30B+ in annual revenue Oracle Corp. today disclosed that it has won a cloud contract worth more than $30 billion annually. Shares of the company jumped almost 9% on the news at one point. It ended the trading session up 4%. According to a regulatory filing, the cloud contract is one of several that Oracle has won since April 1, the day its 2026 fiscal year began. "Oracle is off to a strong start in FY26," Chief Executive Officer Safra Catz stated in the document. "We signed multiple large cloud services agreements including one that is expected to contribute more than $30 billion in annual revenue starting in FY28." The value of those other contracts was not disclosed. Oracle also left out key details about the flagship $30 billion-plus agreement, notably the identity of the buyer. The perhaps most likely candidate is OpenAI. Earlier this year, the ChatGPT developer partnered with Oracle on Stargate, an initiative to build a network of artificial intelligence data centers in the U.S. The project is expected to cost as much as $500 billion over the next four years. Few organizations can afford to spend $30 billion a year on cloud services. According to The Information, OpenAI expects its annual revenue to reach $125 billion by 2029, which would give the company the financial resources for such a purchase. Other companies that spend tens of billions of dollars annually on cloud infrastructure, such as Meta Platforms Inc. and Microsoft Corp., build their own data centers. Oracle didn't disclose the volume or type of cloud infrastructure that it will provide under the new contract. The company's entire infrastructure cloud services and license support business generated $24.64 billion in revenue during fiscal 2025, or about $5 billion less than the value of the new contract. This hints that Oracle may have to expand its cloud infrastructure to meet the buyer's requirements. As part of Project Stargate, the company is building a sprawling AI data center campus for OpenAI west of Dallas. The ten facilities at the site will reportedly host $40 billion worth of Nvidia Corp. chips. Earlier this year, Oracle disclosed that it's also building data centers in other locations for the ChatGPT developer. The company's capital expenditures tripled from $7 billion in fiscal 2024 to over $21 billion last year. Earlier this month, Oracle executives told investors to expect further spending increases. Founder and Chief Technology Officer Larry Ellison also appeared to preview the $30 billion-plus contract announced today, saying that the company had received an order for "all available cloud capacity." Oracle projects that its cloud infrastructure revenue will grow more than 70% this year, up from 52% during the previous 12 months. That momentum is expected to help the company exceed its goal of generating $104 billion in sales during its 2029 fiscal year.