Oracle integrates NVIDIA AI Enterprise into its cloud infrastructure

AUSTIN, Texas - Oracle Corporation (NYSE: ORCL), a prominent player in the software industry with a market capitalization of $420 billion and annual revenue exceeding $55 billion, has announced the integration of NVIDIA AI Enterprise, an advanced software platform designed to accelerate data science and AI application development, into Oracle Cloud Infrastructure (OCI). According to InvestingPro data, Oracle maintains strong profitability with a gross margin of 71% and has demonstrated consistent growth with a 6.2% increase in revenue over the last twelve months. This new offering will allow customers to deploy AI solutions across the entirety of OCI’s distributed cloud, including public regions and government clouds, while utilizing Oracle Universal Credits for purchase. With Oracle’s robust financial health score rated as GOOD by InvestingPro, the company appears well-positioned to support this significant infrastructure expansion. InvestingPro subscribers have access to 13 additional key insights about Oracle’s business fundamentals and growth prospects.

The partnership between Oracle and NVIDIA aims to simplify and expedite the deployment of AI by making NVIDIA AI Enterprise accessible directly through the OCI Console. This integration provides customers with over 160 AI tools for training and inference, including NVIDIA NIM™ microservices, which are intended to streamline the deployment of generative AI models.

Karan Batta, Senior Vice President at Oracle Cloud Infrastructure, emphasized the goal of enabling customers to develop and deploy AI solutions on OCI as swiftly as possible. This collaboration is set to enhance the flexibility and control over operations, location, and security for customers, particularly in the context of sovereign AI, which is AI that operates under the laws and governance of a specific country.

The availability of NVIDIA AI Enterprise across OCI’s distributed cloud is expected to aid customers in meeting various security, sovereignty, regulatory, and compliance requirements. The service will be offered as a deployment image for GPU instances and Kubernetes clusters using OCI Kubernetes Engine.

Additionally, OCI AI Blueprints are being introduced to further accelerate AI deployments. These blueprints provide no-code deployment recipes, reducing the time required to launch AI workloads and offering clear hardware recommendations for NVIDIA GPUs and NIM microservices.

Several organizations have already begun leveraging the combined capabilities of Oracle and NVIDIA. Nomura Research Institute (NRI) uses Oracle Alloy to offer high-performance infrastructure and sovereign AI services in Japan. Oracle’s strong market position is reflected in its financial metrics, with the company maintaining dividend payments for 17 consecutive years and achieving a 21.8% total return over the past year. For detailed analysis of Oracle’s competitive position and growth potential, investors can access the comprehensive Pro Research Report available on InvestingPro. In the UAE, telecom company e& UAE has deployed NVIDIA Hopper GPU clusters within its OCI Dedicated Region to develop new generative AI services. Meanwhile, Zoom Communications, Inc. is utilizing OCI to support Zoom AI Companion in Saudi Arabia, optimizing AI models to run on OCI GPU shapes to comply with local regulations.

This expansion of Oracle’s distributed cloud capabilities with NVIDIA AI Enterprise is based on a press release statement and aims to provide customers with more expansive AI and cloud options to accelerate the adoption of sovereign AI.

In other recent news, Oracle Corporation has announced its intention to invest $5 billion in expanding its cloud infrastructure in the UK over the next five years. This significant investment aims to enhance Oracle Cloud Infrastructure’s presence and support the UK’s aspirations in AI innovation. Additionally, Oracle has launched Java 24, introducing features geared towards artificial intelligence and post-quantum cryptography, alongside various enhancements to boost developer productivity. Meanwhile, Oracle is contemplating acquiring a minor stake in TikTok’s US operations, a proposal that includes providing security assurances amid ongoing discussions about data safety. The potential deal would require approval from both US and Chinese authorities.

In analyst updates, TD Cowen has maintained a Buy rating for Oracle, with a price target of $210, citing robust third-quarter bookings and anticipated growth acceleration. The analysts noted Oracle’s strong position in AI training and projected that growth rates could double within the next year. Oracle’s guidance indicates an expected increase in growth from 9% in FY25 to 20% in FY27, driven by AI-related developments. These recent developments reflect Oracle’s strategic initiatives to strengthen its technological capabilities and market position.

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