Hyperscaler Pipeline $1.1 Trillion; #1 Oracle $455B, #2 Microsoft $368B

In today's Cloud Wars Minute, I unpack how Oracle’s $455B RPO
surge signals a massive shift in cloud leadership.


Highlights


00:15 — We see across the Cloud Wars Top 10 an
incredible sense of demand from businesses across the world — to
help those businesses create their futures. And in fact, we've
now got, just among the four hyperscalers, a pipeline totaling
$1.1 trillion. We've got Oracle in the top spot there at $455
billion. Microsoft is number two in the RPO race, $368 billion.


01:17 — So here, I've got the four hyperscalers
with RPO and the RPO growth rate, then quarterly revenue and
quarterly growth rate. Oracle is on the top, its RPO now sits at
close to half a trillion dollars, with a growth rate of 359%.
Microsoft: $368 billion in RPO, up a whopping 37%, off that huge
base. Quarterly revenue for the Microsoft Cloud — almost $47
billion, up 27%.


02:25 — AWS' RPO is now $195 billion, up about
25%. That's coming off its Q2 revenue of almost $31 billion, up
17.5%. AWS is growing more slowly than the other hyperscalers.
Google Cloud: backlog $106 billion, up 38%. For Q2, Google Cloud
revenue at $13.6 billion, up 32%. So it was the fastest-growing
in Q1, doing very well here.


03:33 — Now altogether, this adds up to $1.1
trillion. I'm just not used to saying “trillion.” Got to get more
used to that as this market gets bigger. Oracle CEO Safra Catz
said that there were multiple huge deals that Oracle signed for
Oracle Cloud Infrastructure, and more coming. Catz said that, “We
anticipate that in the near future, Oracle's RPO will reach $500
billion — half a trillion.”


04:32 — Going into the future, as AI comes along
and changes so much, RPO — or backlog — gives us a great idea of
who the hot companies are coming up. And right now, undisputedly,
that is Oracle. The other three companies are doing quite well,
but I think AWS has become the “slowpoke” in this sprint that the
others are undertaking.


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