Oracle has secured a cloud contract projected to generate $30 billion in annual revenue, surpassing the current size of its entire cloud infrastructure business, Bloomberg reported. Following the news, Oracle’s shares surged as much as 8.6% in New York, marking a record intraday high.
“Oracle is off to a strong start” in its fiscal year 2026, Chief Executive Officer Safra Catz said in the filing. The company has signed “multiple large cloud services agreements,” she said, adding that revenue from Oracle’s namesake database that runs on other clouds continues to grow more than 100%.
The $30 billion deal stands as one of the largest cloud contracts ever recorded. On its own, that revenue would be nearly triple the size of Oracle’s current infrastructure business, which generated $10.3 billion over the past four quarters.
In 2022, the U.S. Defense Department awarded another major cloud contract worth up to $9 billion through 2028, splitting it among four providers, including Oracle. That contract marked a shift from an earlier $10 billion award to Microsoft Corp., which became entangled in legal disputes.
The newly announced deal signals that Oracle is poised to expand its cloud market share and ramp up capital investments in the years ahead, according to a note from Anurag Rana, an analyst at Bloomberg Intelligence.
