Story · Oracle
Oracle signs 10-year software contract with Pentagon worth up to $7 billion
The Pentagon announced a 10-year contract with Oracle worth up to $7 billion to supply on-premises software to the U.S. Department of Defense, including branches of the military, the intelligence community, and the Coast Guard. The contract is expected to save taxpayers at least $441 million. Oracle co-founder Larry Ellison, a longtime supporter of President Donald Trump, was among the first guests at the White House in Trump's second term. Despite this win, Oracle shares are down 38% this year due to investor concerns that AI could hurt software incumbents and the company's heavy debt for AI data center buildout. The company reported a 2% decline in quarterly software revenue but a 47% increase in cloud revenue.
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