Oracle names insiders Clay Magouyrk, Mike Sicilianew as its co-CEOs
What's the story
Oracle has announced the appointment of Clay Magouyrk and Mike Sicilia as its new co-CEOs. They will be replacing Safra Catz, who has been at the helm for 11 years and has now been named vice chair of the board. Catz played a key role in shaping Oracle's AI strategy and securing major multi-year contracts for data centers and cloud services from leading tech companies.
Leadership transition
New co-CEOs' backgrounds and roles
Sicilia, who now serves as co-CEO, oversees cloud-based industry-specific applications and AI solutions in verticals such as healthcare, financial services, and retail. On the other hand, Magouyrk manages Oracle's underlying cloud infrastructure platform that powers these applications. He joined Oracle in 2014 from Amazon Web Services while Sicilia came through Primavera Systems acquisition.
Market response
Oracle's financial outlook remains strong
Despite the leadership change, Oracle has reaffirmed its earlier financial guidance. The company expects booked revenue from its Oracle Cloud Infrastructure business to exceed half a trillion dollars, which has already pushed the stock to record highs. Even with a slight dip in premarket trading after the announcement of new co-CEOs, Oracle shares have outperformed tech giants Microsoft and Alphabet this year amid an AI-powered surge.
Strategic partnerships
Oracle's role in TikTok's US operations
Co-founded by Larry Ellison, Oracle is also at the center of high-profile discussions to keep TikTok operating in the US. All data on the app's American users will be stored on US cloud computing infrastructure run by Oracle. This strategic partnership highlights Oracle's growing influence and relevance in today's digital landscape.