Story updated July 1
Oracle shares surged after the tech giant announced a $30 billion cloud deal in its latest Securities and Exchange Commission filing, representing nearly three times the revenue it generated in 2025.
Oracle is "off to a great start" in fiscal year 2026, according to CEO Safra Catz.
"Our multicloud database revenue continues to grow at over 100%, 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]."
Catz didn't identify the customer for the cloud deal, but Guru Focus reported later in the day that it's G42, a UAE-based, AI-optimized cloud data center provider. The company is particularly focused on the U.S. since the demand is so high there. Workloads in the new data centers will sit on Oracle Cloud Infrastructure (OCI).
Optimisim about the deal sent Oracle shares rising more than 5% as of 3:18 p.m. ET on Monday.
The company has seen a significant increase in demand for data center infrastructure in its last quarter, a surge driven by companies seeking the necessary computing power to run AI workloads.
Don't expect the newly revealed deals to impact Oracle's financial guidance for 2026, the company said.
Related:Hyperscalers Hold Almost Half of Global Data Center Capacity
OpenAI and SoftBank's $500 billion Project Stargate data center is the most likely suspect, according to some observers. While Oracle was announced as one of the partners in the Stargate joint venture in January, alongside OpenAI and SoftBank, it hasn't signed any contracts affirming its involvement. Oracle founder Larry Ellison affirmed on a March earnings call that Oracle had not signed any agreements related to Stargate and that it was expected to sign its first large contract with the data center project "fairly soon."
Oracle's Past Cloud Deals
The contract correlates with previous estimates that Catz had provided investors. The Oracle CEO told investors on a June 11 call that she expected cloud revenue to increase more than 70% in the company's 2026 fiscal year. Those remarks arrived after Oracle reached agreements with several major technology companies. For example, Oracle signed a contract with Cleveland Clinic and the UAE-based AI holding company G42 for its new medical data platform. IBM and Oracle expanded their partnership in May by making watsonx and its various agents available on Oracle's cloud infrastructure. The company is also assisting China-based e-commerce vendor Temu to localize its business operations within the United States.
Related:The Oracle PartnerNetwork Cloud Program Turns One
Oracle and Google Cloud created a partner program in April around their joint managed service, which will bring Oracle's database management system together with Google Cloud's scalability.
About the Author
Technology Reporter, Channel Futures
Christopher Hutton is a technology reporter at Channel Futures. He previously worked at the Washington Examiner, where he covered tech policy on the Hill. He currently covers MSPs and developing technologies. He has a Master's degree in sociology from Ball State University.