Oracle’s recent initiatives to raise funds for its AI infrastructure expansion have faced skepticism from Wall Street, with the company’s stock plummeting around 50% from September levels, wiping out $460 billion in market value. Despite initial excitement, investors remain cautious about the sustained growth of AI in the long run.
However, Oracle’s strategic positioning in the AI market has garnered mixed reactions, with some analysts expressing optimism about the company’s long-term strategy. Stephen Dickens, CEO of HyperFrame Research, believes that Oracle’s focus on meeting current market demands and its relatively lower technical debt position compared to other cloud providers could prove advantageous in capitalizing on the AI boom.