The Pentagon announced a contract worth nearly $7 billion with Oracle on Thursday to supply software for on-premises data centers across the U.S. military, intelligence agencies, and the Coast Guard over the next decade.
Pentagon Chief Information Officer Kirsten Davies said the agreement would save taxpayers at least $441 million. The deal follows a similar $9.69 billion contract with Microsoft that Davies's office secured in May. Defense Secretary Pete Hegseth separately estimated that the Iran conflict, which began in February, has cost the United States $37.5 billion so far.
Oracle shares rose 2% in after-hours trading to $122.40, though the stock had lost 38.4% since the start of the year through Thursday's close. The company reported a 2% decline in software revenue year-over-year in June.