Could Oracle Surpass Microsoft? A Deep Dive into Oracle's Cloud and AI Business Expansion
The similarities and differences
The post compares Microsoft and Oracle's business models, revenue sources, and growth drivers.
Microsoft's Growth Strategy
Microsoft's growth was fueled by Azure and cloud-based services, investments in OpenAI.
Oracle's Transformation
Oracle shifted to cloud-based services and expanded in ERP, CRM, and healthcare IT.
- Oracle ranks third in cloud-based database, CRM markets.
- Oracle's cloud revenue offset slower growth in legacy services.
CEO Catz expects continued growth from cloud infrastructure and AI expansions despite challenges.
Could Oracle Replicate Microsoft's Gains?
Analysts project Oracle's revenue and EPS growth, driven by buybacks, but it's unlikely to match Microsoft's past performance.
- Oracle's stock could triple with stable growth, but still smaller than Microsoft.
- Investors should focus on Oracle's strengths in cloud and AI businesses.
Considering Oracle's growth potential, investors should evaluate its core strengths and current valuation before investing.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.