Post by : Mumtaaz
Qadiri
Oracle is reportedly in discussions with Meta for a multi-year cloud computing agreement valued at approximately $20 billion. The deal would provide Meta with enhanced computing power for training and deploying artificial intelligence (AI) models, supplementing its existing cloud providers, according to a source familiar with the matter.
Meta and Oracle Stay Silent
When contacted, Meta declined to comment on the potential agreement, while Oracle did not immediately respond. If finalized, the deal would mark one of the largest cloud contracts in the technology sector.
Oracle’s Cloud Capabilities
Oracle offers integrated cloud technologies with flexible deployment options, allowing it to meet a wide range of enterprise needs. Its cloud infrastructure has been increasingly adopted by major companies, including partnerships with Amazon, Alphabet, and Microsoft. Revenue from these collaborations grew more than sixteen-fold in the first quarter of 2025.
Industry Moves Toward AI Capacity
The potential Meta deal follows a Wall Street Journal report detailing OpenAI’s $300 billion contract with Oracle for computing power over roughly five years—one of the largest cloud agreements ever. Oracle recently announced four multi-billion-dollar contracts, reflecting an industry-wide surge in demand for massive computing resources necessary to maintain leadership in AI development.
Oracle expects to secure several additional multi-billion-dollar customers in the coming months. The company also projects that revenue booked at its Oracle Cloud Infrastructure (OCI) business could exceed half a trillion dollars, underscoring the growing importance of AI-driven cloud services in the global tech market.
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