Market Analysis: Oracle is the New Nvidia

According to Huobi HTX, an article from the Wall Street Journal said that Oracle gave clear numbers on a vague business, which is worthy of appreciation. Oracle's bold predictions strongly suggest that the company, which has a 48-year history and is already one of the world's largest software providers, may more than double its total revenue in the next three years. It's a bit like the AI ​​chip giant Nvidia, which quickly transformed from a niche supplier of video game chips to the only company in the world with a market capitalization of over $4 trillion. Oracle's revenue outlook is somewhat more certain, because its growth is mainly related to reasoning—the process of issuing queries to AI models and obtaining answers. Such activity is expected to increase as AI focus shifts from training better models to deployment to tens of millions of new users. Oracle faces a lot of competition, but analysts believe Oracle also has its own strong advantages. Scotia Bank analyst Patrick Colville pointed out that Oracle has "top technical expertise, capital acquisition capabilities, deep support from Nvidia, and independence, so it is in a good position to seize the explosion of AI training and reasoning needs."