Oracle Corp at Jefferies Heathcare Conference Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Glen Santangelo - Jefferies - Analyst : So maybe the first question, I guess, that's kind of on everyone's mind is, Oracle has been this leadership -- had this leadership position in cloud applications for a long period of time, and Cerner was always this EHR behemoth that dominated its business. And now, the two of you guys have kind of come together maybe to uniquely position yourself to address some of the challenges and issues that face healthcare. And before I dig into some of that in more detail, maybe I would just love to start out, as a starting point for everyone, for you to maybe give us Oracle's vision within healthcare. What's the rationale for bringing these two companies together and this sort of unique positioning? What does it sort of enable Oracle to do? So your perspective would be great. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. JUNE 05, 2024 / 5:00PM, ORCL.N - Oracle Corp at Jefferies Heathcare Conference

Question: Glen Santangelo - Jefferies - Analyst : And I'm sorry, just to follow up on that, just so I'm clear. I used to follow Cerner a long time ago, and so I'm reasonably familiar with their business. But it obviously felt like much more of a provider-based system, where I think you were just kind of making the point that Oracle had some database applications that might have served the life sciences industry. And so now, by basically being under one umbrella now, you're able to sort of integrate those systems in a way that gives you more of a unique perspective across the provider and life sciences sort of landscapes.

Question: Glen Santangelo - Jefferies - Analyst : It's interesting, from your own personal perspective, first, at the state and local level and then ultimately running CMS, you've had a front row seat as to all these issues. And interoperability, as you mentioned, has always been one of the greatest challenges. And so when you sort of look -- since the HITECH Act was passed, for example, in 2010, here we are 14 years later. What have been some of the biggest advances you've seen across healthcare, maybe some of the bigger policy battles, challenges? From your perspective, we've come a reasonable way, but it still seems like we have a long way to go, but we'd love to get your overall perspective.

Question: Glen Santangelo - Jefferies - Analyst : But this longitudinal data record that you described, how is that different from an EMR, like an electronic medical record, for example? Is it different? Because I feel like we grew up with that term, EMR.

Question: Glen Santangelo - Jefferies - Analyst : Okay, that makes sense. All right. So maybe just -- all this talk around interoperability, it sounds like we've come pretty far, but maybe we haven't come far enough actually. And so then the question is -- it makes you ask questions about -- you said one of the challenges during the pandemic is maybe not everybody wanted to share the data. So it begs the obvious question, okay, who owns this data and how do you sort of think about that?

Question: Glen Santangelo - Jefferies - Analyst : Okay. Investors in the healthcare space, they've had to deal with a number of cyber incidents across a number of different companies here. More recently, and as a database provider, I mean, cybersecurity is one of those hot-button issues. How do you think about cybersecurity and you think there's advances that like a combined Oracle-Cerner can make in that area specifically?

Question: Glen Santangelo - Jefferies - Analyst : Right. Another one of the big hot-button areas outside of cybersecurity is AI. So I'm sure you get that question all the time. And so when you think about the strategy internally, what role does AI have to play, and how do you think about that sort of progressing some of these challenges or curing some of these challenges that you speak about?

Question: Glen Santangelo - Jefferies - Analyst : I mean, as you know, there are some publicly traded revenue cycle providers. And it's a focus, people pay attention to that. But back from my days of current Cerner, I don't remember them being a meaningful player in revenue cycle. Is that something --

Question: Glen Santangelo - Jefferies - Analyst : Perfect. All right. We touched on earlier in the conversation the COVID crisis, and in your time at CMS, I'd be remiss if I didn't ask about the policy. And I'm kind of curious as to what you see, maybe changes coming on that front that may have an impact in terms of new regulations or just how you think that could -- any new regulations or policy changes could change the industry as we think about it today.

Question: Glen Santangelo - Jefferies - Analyst : All right. Well, we have a couple of minutes left. Maybe if we can just -- I want to give you an opportunity to sort of summarize your thoughts and what message you want to leave with the investment community here today. But it kind of seems like, again, it's a little bit less transparent to us in the healthcare world, but it seems like Oracle's doing a lot in terms of database management with longitudinal data records, doing a lot to push the cybersecurity goals down the field, making advances in AI and revenue cycle management and interoperability, and all these things you talk about. But how would you sort of summarize this, and what message do you want to leave for the investors today on sort of Oracle's mission for the healthcare?

Question: Glen Santangelo - Jefferies - Analyst : Okay, perfect. Well, we're just about out of time, and this was a big faux pas on my part. I was supposed to read the Safe Harbor statement before we started. And I just want to read it, but I don't think we violated anything here. I wanted to read, please note that Oracle will be announcing earnings next week, for anybody who's interested, and they're currently in their quiet period. And as a result, Seema was limited in terms of the topics that she could discuss, and we're not going to take any questions from the audience. And unfortunately, she can't take any questions following the presentation. So for that, I apologize. Sorry I did that in reverse order, but I don't think we violated anything related to next week's earnings. So with that, thank you, everybody. Seema, thank you very much. We really appreciate your thoughts.