Oracle (XNYS-ORCL) is reportedly in advanced talks with Meta Platforms for a multi year cloud computing agreement valued at approximately $20 billion, signaling Meta’s push to secure faster and more scalable access to AI infrastructure. The deal would position Oracle as a key provider of compute capacity for training and deploying Meta’s AI models, supplementing its existing cloud partnerships.
The timing is notable: just days earlier, Oracle was reported to have signed a landmark $300 billion compute contract with OpenAI one of the largest cloud deals ever inked. These moves underscore Oracle’s aggressive expansion into the AI infrastructure space, as demand for high performance compute surges across industries.
Oracle’s cloud strategy has gained momentum through integrations with Amazon Web Services, Google Cloud, and Microsoft Azure, allowing customers to run Oracle Cloud Infrastructure (OCI) alongside native services. Revenue from these partnerships rose more than sixteen fold in Q1, reflecting growing enterprise adoption.
Last week, Oracle disclosed four additional multi billion dollar contracts, reinforcing a broader industry trend led by firms like OpenAI and xAI to lock in long-term compute capacity. The company expects to onboard several more high value customers in the coming months, projecting booked revenue at its OCI division to exceed $500 billion.