Oracle Corporation (NYSE:ORCL) signed a new cloud agreement with the UK Ministry of Defence on January 14. The deal allows the MoD to move legacy technology systems to Oracle Cloud Infrastructure.
KeyBanc reiterated a Buy rating on Oracle on the same day. The firm set a price target of $300.
The agreement supports the Ministry's modernization goals. It aims for effective use of critical data to bolster national security and the adoption of new AI capabilities.
Jason Rees, senior vice president of Technology Engineering for Oracle EMEA, stated that migrating workloads to OCI would enable sophisticated use of data and AI to bolster UK national security. He said this could be done without complicated and costly rewrites.
Rees added that OCI's in-built security and AI solutions offer a foundation for improved decision making, faster innovation, and mission-ready capabilities.
The cloud agreement provides the MoD access to OCI to support the modernization and consolidation of legacy systems.
Oracle provides products and services for corporate IT environments, including applications and infrastructure technologies. The company's operations are divided into Cloud and License, Hardware, and Services segments.