Oracle predicts doom for technology firms

But he added in his interview with BBC New24 that Oracle would not be one of them.

Ellison said the market was making the same mistake of underrating tech stocks now, just as it overrated them earlier. ‘Things are not getting worse, but I don’t think they are getting better,’ he said.

Smaller companies will not survive and there will be a concentration of spending in the larger companies, he predicted. ‘Even if high-tech spending by companies never recovers to its former levels, large firms will see a recovery because the small firms they compete with will no longer be in business.’

He added that he was unconcerned that shares in Oracle have plunged by more than 75% since their peak as Oracle was a cash-rich and highly profitable company.

He said he doubted that tech spending would ever capture such a high proportion of total capital investment as it did for a few years in the l990s.

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