Oracle CEO Mark Hurd: Cloud technology is a hot area for customers

Oracle (NYSE:ORCL) CEO Mark Hurd explained why more companies are going to start turning to cloud technology.

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“I think in the case of cloud, because cloud has characteristics of overall lowering total cost of ownership for a company, it tends to be where you see a lot of projects moving forward. Most companies today are trying, really, to lead with cloud, move to cloud first,” he told FOX Business’ Maria Bartiromo on “Wall Street Week” Friday.

Cloud technology gives companies access to a shared pool of computing resources, which allows enterprises to store and process data, according to Oracle’s website. Hurd went on to describe how cloud technology can benefit businesses.

“The technology is driving the technology. It is autonomous. There is no labor. There is no patching. There is no tuning. It is done by our computer capability, our technical capability. You frankly just eliminate tons of costs, and you accelerate the task and therefore all those benefits accrue in price. And it's a lower price, significantly, for the customer,” he said.

Hurd also discussed how his company has profited from the selling of cloud technology.

“Over the past several quarters, you know, we've been getting bigger, meaning our revenue has been growing and our growth rate has really been accelerating, meaning our growth rate has actually been going up. And so, last quarter was -- as we get bigger, we'll probably start to grow slower, just models. But right now, we're growing faster than any scaled cloud company in the industry.”

Oracle is currently looking to displace the software company SAP (NYSE:SAP) as the world leader in enterprise applications.