Oracle(US:ORCL) Xin Lang Cai Jing·2025-09-19 23:28Core Insights - Oracle's stock price increased by 4.06% on September 19, driven by key business collaborations and strategic plans that have generated optimistic market expectations for the company [1] - Oracle is negotiating a cloud computing agreement worth approximately $20 billion with Meta Platforms, which could enhance its position in the cloud infrastructure market [1] - The company reported a significant increase in bookings last week, contributing to its stock price reaching a new high, reflecting its competitiveness in the AI computing supply sector [1] Strategic Developments - Oracle's strategy indicates it is not merely imitating competitors in the cloud computing market but is leveraging its "second-generation cloud infrastructure" (OCI) to target the core needs of AI computing [2] - The deep partnership with NVIDIA ensures Oracle's leading position in the computing market during the AI wave [2] - Oracle has initiated a project in Wuxi, China, to establish a cloud future center, actively participating in the digital economy and supporting local AI industry development [1][2] Financial Considerations - Oracle's capital expenditure plan amounts to $35 billion, which may pose challenges related to cash flow [2] - The company faces potential issues in converting a backlog of large contracts into actual revenue and efficiently operating data centers globally [2] - Despite short-term financial pressures, Oracle's deep enterprise roots and technological moat make it a company to watch in the new technology cycle [2]