Oracle is soaring as investors cheer its aggressive data-center forecast as a positive sign for AI demand.

Oracle's overall revenue increased 12% to $14.93 billion, which missed the $15.04 billion analyst consensus by less than 1%. Cloud revenue jumped 28% to $7.2 billion. Within the cloud segment, cloud infrastructure revenue soared by 55% to $3.3 billion while cloud application revenue rose 11% to $3.8 billion.

Oracle shares soared about 35% on Wednesday after the company pointed to a demand surge for its cloud services from AI firms, underscoring its deeper push into the backbone of artificial intelligence systems.

Oracle is well-positioned in AI-driven enterprise solutions, with robust cloud offerings and a massive backlog fueling future growth. See what prompts a Hold rating.

Oracle's data centers use a proprietary random direct memory access (RDMA) networking technology that moves data between chips and devices faster than traditional Ethernet networks. Since developers usually pay for computing capacity by the minute, more rapid data transfer can lead to substantial cost savings.

Artificial intelligence (AI) is now changing everything. Demand for AI infrastructure is exploding, with tech giants and start-ups scrambling to secure capacity to both train and run advanced AI models. Oracle is emerging as an enormous winner.

The stock ( ORCL) shot up more than 40% Wednesday morning, its largest single-day jump ever. It was such big leap that it minted Oracle co-founder Larry Ellison $100 billion in less than hour, making him the world’s richest person and bumping Elon Musk to second place.

Artificial intelligence chipmakers saw strong momentum this week as corporate earnings, cloud computing contracts, and surging demand for AI infrastructure fueled gains across the sector. Nvidia (NASDAQ:NVDA),