Oracle (ORCL)-Owned Cerner Enviza Signs AI Contract With FDA
Oracle ORCL-owned Cerner medical technology business announced that it has signed a new contract with the Food and Drug Administration ("FDA") to develop artificial intelligence (AI) tools to extract information from electronic health records and improve understanding of the effects of medicines on large populations.
As part of the contract, the technology company will explore how machine learning and natural language processing (NLP) can fill gaps in medical data collection.
The project, known as the Multi-source Observational Safety Study for Advanced Information Classification Using NLP, is also supported by the participation of Children’s Hospital of Orange County, National Jewish Health and Kaiser Permanente Washington Health Research Institute. These will provide clinical expertise and consulting.
Cerner Enviza, an Oracle company, along with John Snow Labs, will help support the FDA’s drug safety Sentinel Initiative by using AI technology. The initiative, over a span of two years, will involve exploring the possible mental health side effects arising from the use of the asthma drug, montelukast.
The Sentinel Initiative is the FDA’s national electronic system for monitoring the safety of FDA-regulated medical products including drugs, vaccines, biologics and medical devices. It was launched in May 2008 in response to the passage of the FDA Amendments Act.
Cerner Enviza and John Snow Labs will together develop a new methodology to enhance computerized queries, or phenotyping, of digital patient data and clinical notes to support pharmacoepidemiology.
Oracle Corporation Price and Consensus
Oracle Corporation price-consensus-chart | Oracle Corporation Quote
Oracle Advances Efforts to Boost AI Adoption
This Zacks Rank #3 (Hold) company is well-positioned to support the high-performance AI needs of large enterprises that are looking for ways to improve its data collection and interpretation efforts. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The Zacks Consensus Estimate for ORCL’s fourth-quarter 2022 is pegged at a profit of $1.58 per share, which has risen from $1.48 per share in the past 30 days. The Zacks Consensus Estimate for revenues is pegged at $13.74 billion, indicating year-over-year growth of 16.04%.
The company’s multi-year partnership with Nvidia NVDA to help customers accelerate AI adoption is one such advancement.
The collaboration brings Nvidia’s full accelerated computing stack — from GPUs to systems to software — to Oracle Cloud Infrastructure (OCI). Nvidia and Oracle plan to make an upcoming release of Nvidia AI Enterprise available on OCI, offering customers access to Nvidia’s accelerated, secure and scalable platform for end-to-end AI development and deployment.
In January, Oracle announced partnership with SymphonyAI to offer SymphonyAI solutions on OCI using key services. These services include Oracle Exadata Database Service, GPU-accelerated compute and performance monitoring.
SymphonyAI provides focused AI applications designed to rapidly solve challenging business problems and deliver breakthrough insights, increasing operational efficiencies and growing revenues for customers.
Collaborating with Oracle will allow SymphonyAI to help its clientele tap the power of cloud flexibility and cost efficiencies for real-time insights and recommendations.
Despite its late entry, Oracle has been endeavoring to grab a larger share of the prospective cloud market, which is dominated by the likes of Amazon’s AMZN Amazon Web Services (AWS) and Microsoft’s MSFT Azure Cloud.
Per Canalys report, worldwide cloud infrastructure services expenditure grew 23% year over year in the fourth quarter of 2022 to reach $65.8 billion. AWS led the cloud infrastructure services market in fourth-quarter 2022, accounting for 32% of total spend. Microsoft Azure held 23% of the global cloud infrastructure services market and remained the second-largest provider after growing 31% year over year.
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