Oracle is in discussions with Meta for a multi-year cloud computing deal estimated at about \$20 billion, according to a source. The agreement would help Meta secure faster access to computing power needed for training and deploying its AI models.
Meta declined to comment on the talks, while Oracle has not yet responded to requests.
Oracle Cloud Infrastructure provides integrated technologies and flexible deployment models, making it a strong option for companies with large AI needs.
This possible deal comes shortly after reports that OpenAI signed a \$300 billion, five-year contract with Oracle, considered one of the largest cloud deals ever.
Oracle has also partnered with Amazon, Google, and Microsoft to allow their customers to use Oracle Cloud alongside native services. Revenue from these partnerships rose more than sixteen times in the first quarter.
Recently, Oracle announced four new multi-billion-dollar contracts as demand for computing power continues to rise in the AI race. The company expects to sign more such deals in the coming months and projects that booked revenue from its cloud business will exceed \$500 billion.