All articles tagged with #cloud infrastructure
Piper Sandler analysts view the recent partnership between Akamai and Anthropic as a pivotal moment for the edge computing provider. The deal is expected to transition Akamai from a traditional value asset into a hypergrowth company by leveraging AI-driven demand for secure, distributed computing infrastructure.
A leaked document shows Oracle laid off 546 employees in its America’s Cloud Infrastructure division—about 7.6% of that group—hitting software developers, program managers, and data-center staff, with older workers disproportionately affected. The cuts come as Oracle doubles down on expensive AI-focused data-center expansion, planning roughly $90-95 billion in new builds, after a broader 13% reduction in its fiscal 2026 workforce.
Oracle beat estimates in Q1 FY2027 with revenue up 30% to $19.3 billion and cloud infrastructure sales up 121% to $7.4 billion, powered by booming AI cloud demand that outpaced supply; adjusted earnings per share rose 30% to $1.92 on expectations of $1.75. The company booked over $30 billion of AI cloud contracts, lifting remaining performance obligations backlog to about $664 billion. While the AI-fueled cloud push underscores Oracle's data-center expansion, investors remain wary of the debt used to fund the build, and the stock trimmed intraday gains after the release.
Oracle reported solid Q1 results with adjusted EPS of $1.92 on $19.3B revenue, led by cloud-infrastructure revenue up 121% to $7.4B and a backlog totaling $664B (nearly half from an OpenAI contract); the company guided modestly higher for the year, but free cash flow remains negative as capex climbs toward about $92B this year, funded by about $37B of new debt and $20B of equity raised in Q1. Shares rose in after-hours trading.
Morgan Stanley's price-target upgrade for Oracle sparks a roughly 5% morning surge in ORCL, with CoreWeave rising about 3% as AI cloud infrastructure names gain; Oracle's Q4 FY2026 results showed Cloud Infrastructure revenue up 93% year-over-year to $5.79 billion and RPO up 363% to $638 billion, and management reiterated a $90 billion FY2027 revenue target while guiding to $8.05 in non-GAAP EPS and financing its plan with about $40 billion of debt/equity in FY2027 amid negative free cash flow. The rally reflects AI infrastructure sentiment, though Oracle remains down year-to-date and investors will watch its next earnings release for confirmation; CoreWeave's backlog and capex intensity echo Oracle's growth trajectory, highlighting upside but also capital-expenditure risk.
A broad outage hit major AI services, including ChatGPT, Claude, Gemini, Copilot, and Grok, with users reporting access issues and DownDetector showing widespread problems. OpenAI’s status page cited degraded performance, while Anthropic later confirmed Claude was back online after an infrastructure issue, with related Mythos/Fable/Opus models affected but now resolved. The exact cause remains unknown, and the incident is treated as developing, though services appeared largely restored by Sept. 3.
Oracle posted solid earnings with 93% growth in its Cloud Infrastructure segment and a record Remaining Performance Obligations backlog of about $638 billion, but it also announced a massive capital-spending program—roughly $70 billion in the next fiscal year funded by around $40 billion of debt/equity—implying a margin headwind in FY2027 and prompting questions whether AI demand justifies the bill.
Oracle reports record Q4 and FY2026 results driven by cloud growth: Q4 revenue $19.2B (up 21%), cloud revenue $9.9B (up 47%, with IaaS +93% and SaaS +10%); FY2026 revenue $67.4B (up 17%), cloud revenue $34.0B (up 39%, IaaS +77%, SaaS +11%). GAAP EPS: Q4 $1.45, FY $5.83; non-GAAP EPS: Q4 $2.11, FY $7.63. RPO $638B; free cash flow negative $23.7B due to AI‑center investments. Outlook: Q1 FY2027 total revenue up 27–29%, cloud up 57–63%; FY2027 revenue guidance $90B and non-GAAP EPS $8.05; Oracle declares a $0.50 quarterly dividend.
The EU’s tech sovereignty package marks a shift from defensive regulation to proactive innovation, aiming to triple EU data-center capacity with about €200bn of mostly private investment, boost chip manufacturing and cheaper energy, promote open-source AI to accelerate adoption and reduce US software spend, and seed a €5bn Scaleup Europe Fund to mobilize VC. Europe remains dependent on US tech but has strong science and startups in materials, pharma and robotics that could scale with deeper market integration and faster public procurement reforms, positioning the region for faster AI-driven growth.
SA’s feature frames the AI data-center build-out as a multi-year, cyclical trend and surveys a range of leaders across chips, power and infrastructure—Micron, Talen, Vistra, GE Vernova, Siemens Energy, Nebius, CoreWeave, Applied Digital and Iren. It notes Nebius’ growth edge through Nvidia partnerships, CoreWeave’s scale and Nvidia integration (with margin pressure), Applied Digital’s energy efficiency and predictable revenue, and Iren’s renewable-energy moat. Investors should weigh cyclicality, capital expenditure and debt, and valuation when choosing among growth, stability, or energy-led plays.
CoreWeave reported strong Q4 2025 and full-year results, with revenue of $1.57B in Q4 and $5.13B for 2025, and a net loss of $452M for Q4 and $1.17B for the year due to interest expense and non-GAAP adjustments. Adjusted EBITDA reached $898M in Q4 and $3.09B for the year. Revenue backlog grew to $66.8B, underscoring strong demand visibility as the company expands its AI cloud footprint. CoreWeave added about 260 MW of capacity (now >850 MW) and has ~3.1 GW of contracted power, completed its IPO in March 2025 (Nasdaq: CRWV), and pursued acquisitions (Monolith, Marimo) and partnerships to broaden its platform, including federal offerings.
Tata Group has signed OpenAI as a customer for its data-center business, signaling a strategic push to grow its data-center and cloud infrastructure to support AI workloads and services.
Oracle announced a calendar-year 2026 plan to raise $45-$50 billion through a balanced mix of debt and equity—including an ATM equity program and mandatory convertible preferred securities—to fund expansion of its Oracle Cloud Infrastructure, with a one-time senior unsecured bond issue early in 2026 and no additional bonds that year, aiming to maintain an investment-grade balance sheet as it serves large cloud customers.
NVIDIA and CoreWeave broaden their alliance to speed the buildout of more than 5 gigawatts of AI factories by 2030, with NVIDIA investing $2 billion in CoreWeave to finance land, power and shell, and to deploy multiple generations of NVIDIA infrastructure across CoreWeave’s platform while validating SUNK and Mission Control software for potential inclusion in NVIDIA’s cloud reference architectures, meeting rising enterprise demand for AI workloads.
CoreWeave's stock dropped 16.4% after reporting a Q3 earnings miss and announcing major AI partnerships with CrowdStrike and VAST Data, highlighting its efforts to expand in the AI cloud market despite ongoing losses, high debt, and reliance on few major clients, with varied investor valuations suggesting potential overvaluation.