How do oracles make money?
Software Licenses: Oracle sells software licenses to customers who want to use their products. These licenses provide the right to use Oracle's software on a specific number of computers or for a particular period of time. The revenue generated from software licenses is a significant portion of Oracle's earnings.
Revenue of Oracle 2005-2023
The company's cloud services and license support segment is its biggest earner, accounting for more than half of its overall revenues.
Oracle's revenue streams consist of: Software licenses. Cloud services fees. Maintenance and support services fees.
Oracle Corporation (NYSE: ORCL) today announced fiscal 2024 Q3 results. Total quarterly revenues were up 7% year-over-year in both USD and constant currency to $13.3 billion. Cloud services and license support revenues were up 12% in USD and up 11% in constant currency to $10.0 billion.
To sum up, Oracle's use of focus strategy stands out in the way they conduct their business. With the use of various channels of distribution such as website, social media, and community forums, they have been able to stay in touch with the needs of their customers (Pereira, 2023).
- IBM.
- Informatica.
- Microsoft.
- Qlik (Talend)
- SAP.
- SAS.
- Amazon Web Services (AWS)
- Alteryx.
| Company Name | Website | Revenue |
|---|---|---|
| Intel | www.intel.com | $79 Billion |
| Cisco | www.cisco.com | $51.6 Billion |
| Zoom | www.zoom.us | $4 Billion |
| Intuit | www.intuit.com | $9.6 Billion |
Oracle is a multinational computer technology corporation specializing in developing and marketing database software and technology, cloud-engineered systems, and enterprise software products. In simpler terms, Oracle creates tools that help businesses manage and organize their data more effectively.
Oracle competitors include Workday, IBM, SAP, Microsoft and Accenture.
Why is Oracle falling?
“For the second straight quarter, Oracle didn't meet Cloud/OCI growth expectations and again pinned the blame on the pace of infrastructure capacity build-outs, which is disappointing and tough to get visibility into (what could be taking so long?),” wrote UBS analysts in a Tuesday note to investors.
First, Oracle customers are looking to get out of those expensive Oracle contracts and spend less money. Second, Oracle will never make it easy for their customers to spend less money on Oracle. In fact, Oracle will do just about anything to prevent that from happening.
Total debt on the balance sheet as of November 2023 : $88.78 B. According to Oracle's latest financial reports the company's total debt is $88.78 B. A company's total debt is the sum of all current and non-current debts.
Software Licenses and Support: Oracle is known for its database management systems, enterprise software, and cloud solutions. It generates a significant portion of its revenue from selling software licenses and providing ongoing support and maintenance services to its customers.
The company sells database software (particularly the Oracle Database) and cloud computing.
Profit margin can be defined as the percentage of revenue that a company retains as income after the deduction of expenses. Oracle net profit margin as of February 29, 2024 is 20.27%. Oracle Corporation is one of the largest enterprise-grade database, middleware and application software providers.
Overview of Oracle Database
Oracle Database is one of the world's most popular enterprise-level database management systems. Developed by Oracle Corporation, it is known for its ability to manage and process large amounts of data quickly and efficiently.
Microsoft's brand is ranked #22 in the list of Global Top 100 Brands, as rated by customers of Microsoft. Their current market cap is $1.91T. Oracle's brand is ranked #173 in the list of Global Top 1000 Brands, as rated by customers of Oracle. Their current market cap is $207.07B.
Is Salesforce larger than Oracle? According to data from last year, it's close. In July 2020, Salesforce's market capitalization was at $180 billion, whilst Oracle trailed slightly behind at $174 billion.
Back in 1994 when Amazon started operations, on-premise databases were the best thing going for storing and managing enterprise data. And Oracle was at the top of the heap. As Amazon's retail business grew to become the powerhouse it is today, it became more entrenched with Oracle each passing year.
Why does Netflix use Oracle?
The streaming giant, Netflix relies on Oracle's technologies to manage and analyze vast amounts of user data for personalized content recommendations and seamless user experiences.
The Microsoft and Oracle partnership is focused on giving customers choice and removing the hurdles faced when migrating mission-critical workloads to the public cloud where they can access the rich set of technology needed to accelerate innovation and compete more effectively.
Oracle Corporation, headquartered in Austin, TX is an enterprise software company. The company develops, manufactures, markets, distributes and services database and middleware software, as well as applications software that help organizations to manage their businesses.
Larry Ellison is chairman, chief technology officer and cofounder of software giant Oracle, of which he owns just under 40%.
Oracle gross profit for the twelve months ending February 29, 2024 was $37.561B, a 5.14% increase year-over-year. Oracle annual gross profit for 2023 was $36.39B, a 8.42% increase from 2022. Oracle annual gross profit for 2022 was $33.563B, a 2.88% increase from 2021.
