Nvidia currently holds the title of the world’s most valuable company, boasting a market capitalization of $4.5 trillion. With its commanding presence in the global AI semiconductor industry and the anticipated multi-billion-dollar investments in AI data center infrastructure over the coming years, it’s understandable why some on Wall Street believe Nvidia could eventually reach a $10 trillion valuation.
Given Nvidia’s strong competitive edge and the projected $5.2 trillion to be funneled into AI data centers within the next five years, it wouldn’t be shocking if the company achieves that milestone. Still, investors should be mindful of intensifying competition from rivals like Broadcom, AMD, and others in the AI chip sector, which could create obstacles for Nvidia on its path to a $10 trillion market cap.
Interestingly, there’s another player—currently much smaller than Nvidia—that’s showing potential to surpass the chip leader and reach the $10 trillion mark first. Let’s examine this contender more closely.
Image source: Getty Images.
This cloud infrastructure titan could outpace Nvidia
Oracle ( ORCL 1.45%) shares have performed exceptionally well in 2025, climbing 76% so far. That’s more than double Nvidia’s 36% gain this year. Oracle’s impressive surge has pushed its market value to $835 billion, ranking it as the world’s 12th largest company.
You might wonder how Oracle could possibly outstrip Nvidia in the race to a $10 trillion valuation. However, a deeper dive into Oracle’s business strategy, its expanding influence in AI, and the rapid growth of its revenue pipeline reveals why this goal is within reach.
Oracle’s global data center network is relied upon by leading cloud providers, government agencies, and AI firms to power their AI operations. In fact, demand for Oracle’s cloud infrastructure has outpaced its current capacity, resulting in a dramatic rise in its remaining performance obligations (RPO)—the total value of outstanding contracts yet to be fulfilled.
For example, in the first quarter of fiscal 2026 (ending August 31), Oracle’s total revenue increased 12% year over year. Meanwhile, its RPO soared 359% to $455 billion, fueled by “four multi-billion-dollar contracts with three separate clients.” In September, management indicated that Oracle expects to secure “several more multi-billion-dollar customers, and RPO could surpass half a trillion dollars” in the near future.
Oracle didn’t have to wait long for its next major deal. The day after its Q1 earnings release, the company announced a five-year agreement with OpenAI valued at an astonishing $300 billion, set to begin in 2027. This contract alone likely pushes Oracle’s RPO to at least $750 billion, if not higher.
Considering additional multi-billion-dollar deals in the pipeline, as discussed by Oracle’s leadership last quarter, it wouldn’t be surprising if RPO approaches $1 trillion. Oracle also provides multicloud database solutions, enabling clients to run its database services on the cloud platforms of Google, Microsoft, and Amazon.
Demand for Oracle’s multicloud offerings is accelerating rapidly. The company reported a staggering 1,529% year-over-year increase in multicloud database revenue in the fiscal first quarter. Unsurprisingly, Oracle anticipates robust growth in this area and plans to expand its multicloud data centers from 34 to 71.
Furthermore, the AI-driven cloud computing sector is projected to generate $3.7 trillion in revenue by 2034, with the broader cloud market expected to reach $5.1 trillion. This positions Oracle to continue building a powerful long-term revenue stream that could fuel its expansion for years to come.
How Oracle could reach a $10 trillion market cap
Although Oracle’s growth was somewhat modest in the last fiscal quarter, its rapidly expanding revenue pipeline suggests that faster growth may be on the horizon.
ORCL Revenue Estimates for Current Fiscal Year data by YCharts
What’s particularly notable is that Oracle’s RPO far exceeds the total revenue the company is forecasted to generate over the next three fiscal years. With expectations of landing even more large contracts, it’s likely that Oracle’s revenue growth could accelerate well beyond this period.
In contrast, Nvidia’s revenue expansion is predicted to slow down.
NVDA Revenue Estimates for Current Fiscal Year data by YCharts
If Oracle’s revenue were to grow at an annual rate of 40% for the five years following fiscal 2028, its top line could reach $645 billion by 2033 (assuming a base of $120 billion in fiscal 2028). This scenario seems plausible, given the cloud computing market’s potential to hit $5.1 trillion in yearly revenue by 2034, as previously mentioned.
Currently, Oracle trades at a price-to-sales ratio of 14, but with the prospect of faster growth, it could command a higher multiple in the future. If the ratio rises to 16, Oracle would reach a $10 trillion valuation. Meanwhile, Nvidia’s valuation could decline if its growth slows as projected, suggesting Oracle may indeed be the first to cross that historic threshold.
