Posted 12/21/2023, 10:45:00 AM
Oracle and DigitalOcean Expand AI Cloud Offerings, Aiming for Growth in Untapped SMB Market
- Oracle facing huge demand for its AI cloud infrastructure and services. Expanding data centers rapidly.
- Oracle's AI cloud revenue grew 52% year-over-year in latest quarter. Expected to grow 50% per year for years.
- DigitalOcean acquired Paperspace to add AI capabilities. Makes high-performance computing accessible to small businesses.
- DigitalOcean competes with tech giants by focusing on SMB customers. Paperspace acquisition opens $7 trillion to $200 trillion AI market.
- Both Oracle and DigitalOcean are trading at relatively low valuations compared to peers. Good value plays with growth potential.