Larry Ellison, the co-founder and chief technology officer of Oracle, experienced a notable surge in his net worth, witnessing an impressive increase of $14.7 billion in a single day.
According to data compiled by Forbes on wealth accumulation, Ellison’s valuation reached $157.7 billion as of the time of this report.
During Oracle’s quarterly earnings call on the same day, conducted from the company’s base in Austin, Texas, Ellison informed listeners about the widespread application of GenAI across various industries.
He specifically highlighted the implementation of a digital assistant for ambulatory clinic systems and detailed how the technology is aiding in aligning Albania’s laws with those of the European Union, expediting the country’s EU entrance.
The surge in net worth valuation can be attributed to a substantial 10% increase in Oracle’s shares, rising from $114.15 to $126.20.
In addition to the remarkable boost in Ellison’s personal wealth, Oracle Corporation reported third-quarter fiscal year 2024 earnings that not only met revenue expectations but also surpassed earnings per share (EPS) projections by $0.02.
The standout performance was largely credited to the success of Oracle’s infrastructure cloud business, Oracle Cloud Infrastructure (OCI), which is outpacing competitors in terms of growth.
The company’s overall cloud revenue, encompassing both Software as a Service (SaaS) and Infrastructure as a Service (IaaS), witnessed a significant uptick of 24%, reaching $5.1 billion.
Oracle’s comprehensive technology stack, featuring advanced AI capabilities and multi-cloud offerings, has been a key factor attracting customers, contributing to a robust financial outlook and strategic collaborations, such as a noteworthy contract with NVIDIA.
What we know
Other reports indicate that the billionaire is poised to amass even greater wealth as Oracle witnessed a remarkable 13% surge on Tuesday.
This surge is attributed to indications that the company is making significant strides in its strategy to secure a portion of the cloud-computing market, primarily through its collaboration with AI chip giant Nvidia.
Oracle, a major player in the database industry, hinted at upcoming joint announcements with Nvidia, possibly scheduled for the chip firm’s GTC developer conference slated for March 18 to 21. The collaborative efforts between the two companies position Oracle as a cost-effective cloud provider, having invested substantially in Nvidia chips to compete with industry giants like Amazon.com and Microsoft.
Oracle’s commitment to providing affordable cloud services, coupled with a partnership allowing its cloud customers access to Nvidia supercomputers, translated into a remarkable 25% surge in cloud revenue for the third quarter.
Additionally, the company experienced a notable 29% increase in its remaining performance obligations, indicating a growing sales backlog.
With Oracle’s premarket share price reaching $129.67, the company was on a trajectory to add nearly $40 billion to its market value
What you should know
Larry Ellison holds ownership of just under 40% of the company. Having relinquished the role of Oracle CEO in 2014 after a 37-year tenure at the helm, Ellison remains a pivotal figure in the company’s leadership.
Under Ellison, Oracle has witnessed substantial growth, fueled in part by a series of strategic acquisitions of software companies. The most noteworthy among these was the acquisition of electronic health records company Cerner for a substantial $28.3 billion in 2021.
In a notable lifestyle shift, Ellison made a permanent move to the Hawaiian island of Lanai in 2020, a location he had acquired almost in its entirety back in 2012 for a significant sum of $300 million.
This moves underscores Ellison’s penchant for bold and visionary investments.
Beyond his role at Oracle, Ellison also made his mark on the electric car industry by serving on Tesla’s board from December 2018 to August 2022.
Notably, he continues to maintain ownership of approximately 15 million shares in the renowned electric carmaker. Ellison’s multifaceted involvement in both the technology and business realms solidifies his enduring influence and impact on diverse sectors.
Credit: Nairametrics
