Oracle adds usage-based AI billing to enterprise software

Oracle intends to add usage-based revenue to its existing subscription model for enterprise software. Chris Leone stated that the company expects to earn more from existing customers by embedding AI in its suite. Revenue will increase as AI performs work, consuming units without requiring additional seats. Oracle revealed the Fusion Claw runtime earlier this month to help customers control AI agents automating business processes. The runtime targets ERP, finance, and supply chain management in cloud-based Fusion applications on Oracle Cloud Infrastructure. Leone said Fusion Claw will also automate work outside of Fusion applications.

Oracle spent $55.7 billion on datacenters and cloud infrastructure in fiscal year 2026. The company plans to spend between $90 billion and $95 billion in fiscal year 2027. Oracle hopes to raise around $40 billion in debt and equity in 2027. It raised $18 billion in debt in September 2025. Oracle expects fiscal 2030 revenue to be $225 billion, a 35 percent compound annual growth rate from 2026. Positive cash flow is expected by the second half of fiscal 2028.

Co-CEO Mike Sicilia told shareholders that Oracle will use AI to help implement its software. Sicilia described this as a plan as important as putting AI in the software. He argued that using AI to implement software will cut implementation time and bring customers to OCI faster. Sicilia stated that on-premises customers can move more easily to the cloud by leveraging AI tool sets to automate migrations. He identified user reluctance to change as a major headwind. Moving customers from on-premises to cloud results in a multiple increase in revenue.