Oracle has opened a cash firehose to build cloud capacity as “insatiable” demand for OCI capacity continues to surge – with Oracle’s quarterly capex some $5 billion higher than analysts had expected at $9.1 billion.
It now expects a $25 billion capex bill in fiscal 2026, up from under $7 billion for 2024. CFO Safra Catz said this “may turn out to be understated.”
The numbers were revealed in a Q4 ‘25 earnings call. Catz added that she was raising revenue guidance for fiscal 2026 to over $67 billion “as a result of the strength in our cloud applications and infrastructure…”
Oracle’s 2025 cloud infrastructure revenue was up 51% to $10.2 billion. OCI revenue broadly will grow 70% in 2026 predicted Catz, adding that “our remaining performance obligations now stand at $138 billion.”
Oracle CTO Larry Ellison claimed: “We recently got an order that said ‘we'll take all the capacity you have wherever it is: it could be in Europe, it could be in Asia. We'll just take everything.’ I mean we never got an order like that before. We had to move things around. We did the best we could to give them the capacity they needed. The demand is astronomical.”
Revenue from its new multicloud Oracle Database proposition meanwhile was up 115% from Q3 to Q4. The latter, which it markets as Oracle Cloud@[Hyperscaler] has seen it make its databases available via AWS, Azure, and Google Cloud. (Its AWS tie-up only hit public preview in late 2024 so that growth figure is likely to be from a modest standing start.)
Oracle Cloud@AWS includes the option to run Oracle Exadata (which has heavy dependency on Oracle for hardware deployment and maintenance) inside AWS data centre racks via “a low latency network connection between Oracle databases and applications on AWS” they said last year.
Ellison added on the earnings call: “We currently have 23 MultiCloud datacenters live with 47 more being built over the next 12 months. We expect triple-digit MultiCloud revenue growth to continue in FY26.”
In line with many hyperscalers, “our supply is not meeting our demand. We actually currently are still waving off customers from – or scheduling them out into the future so that we have enough supply to meet demand. This is a situation that we have not seen in our history,” he said.
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