The Kaipher Editorial Team 
Oracle shocked Wall Street by announcing a $455 billion revenue backlog for its first fiscal quarter, more than doubling analyst expectations and representing a staggering 359% year-over-year increase. The database giant attributed much of the surge to a series of multibillion-dollar contracts with AI industry leaders, including a historic $300 billion, five-year cloud deal with OpenAI starting in 2027—one of the largest enterprise cloud contracts on record (The New York Times). The announcement proved so impactful that Nvidia shares jumped nearly 4% during Wednesday’s session, highlighting the power of AI infrastructure demand to move the broader technology sector.
Oracle’s quarterly results emphasized its continued transformation into a leading provider of AI-ready cloud services. Company leadership noted that most of the backlog growth stemmed from artificial intelligence megadeals and projected that Oracle’s cloud revenue will increase by 77% in the current fiscal year, eventually reaching $144 billion by 2030. The firm plans $35 billion in capital investments for fiscal 2026—$10 billion above prior guidance—all earmarked for revenue-generating cloud data center expansion (Oracle.com).
AI Infrastructure Spending Accelerates
Oracle’s multicloud database revenue, generated through partnerships with Amazon, Google, and Microsoft, grew an eye-popping 1,529% in the first quarter. CEO Safra Catz and Chairman Larry Ellison stressed that generative AI is catalyzing new, long-term enterprise commitments rather than one-off experiments. Ellison, during the earnings call, predicted that the “AI inferencing market will be much, much larger than the AI training market,” confirming expectations of sustained demand as organizations move from AI development into real-world deployments (Investopedia).
Nvidia Benefits from Cloud Expansion
For Nvidia, Oracle’s record-breaking backlog and capital commitments offered crucial reassurance after recent sector volatility. Nvidia now claims about 25% of all data center spending, putting it at the core of every AI infrastructure build. Oracle’s results—concrete proof that AI investment is accelerating, not stalling—sparked a 4% gain for Nvidia’s stock. As enterprise customers sign multiyear AI infrastructure contracts, both Oracle and Nvidia stand to benefit from a new era of sustained, large-scale technology spending rather than speculative hype.
