By Thomas Richmond
Publication Date: 2026-04-07 20:59:00
oracle (ORCL) makes a bold move AIbut it does this while reducing costs.
TD Cowen estimates that Oracle falls somewhere in between According to a Forbes report, there are 20,000 to 30,000 jobsThis highlights a shift as the company reallocates resources to high-priority growth areas such as AI infrastructure and cloud.
At the same time, Oracle has built one of the largest backlogs in the industry, giving it significant insight into future demand.
The opportunity is clear, but the key question is how quickly Oracle can convert that demand into revenue while also providing enough capacity online to meet that demand.
The backlog now determines Oracle’s revenue prospects
Oracle’s latest update shifted the focus from sales momentum to revenue conversion. The company announced a backlog (remaining performance obligations) of $553 billionhigh 325% year-on-yearand increased its sales target for the 2027 fiscal year 90 billion dollars.
That gives Oracle an unusual level of future visibility for a company that has long been measured by quarterly bookings and…
