US Stock Market Move | Oracle Corporation (ORCL.US) fell more than 6%. The company stated that the gross profit margin of its AI business can reach 30-40%.

On Friday, Oracle Corporation (ORCL.US) fell over 6%, closing at $294.47. In response to doubts from the outside world about the profitability of its AI data center business, Oracle Corporation made a clear commitment to investors: the business, primarily consisting of NVIDIA Corporation chip leasing, will ultimately achieve a gross profit margin of 30% to 40%. This statement is aimed at quelling concerns in the market about its declining profit margins and legitimizing its aggressive cloud computing expansion strategy. Previously, tech media The Information reported that Oracle Corporation's gross profit margin for its GPU leasing business in the past five quarters was only around 16%, significantly lower than the company's overall gross profit margin of approximately 70%, raising concerns in the market about its profitability in the AI business.