OpenAI and Oracle sign massive $300B cloud deal

One of the biggest cloud deals in history just dropped: OpenAI + Oracle = $300 billion. OpenAI has signed a contract to purchase $300B worth of computing power over five years from Oracle — starting in 2027. That’s more than 2 Hoover Dams’ worth of power capacity (4.5 gigawatts!), fueling OpenAI’s AI ambitions under its Stargate data center strategy. Key takeaways: ·      Scale at all costs: OpenAI is betting that ChatGPT’s explosive growth will continue, justifying one of the largest infrastructure investments ever. ·      Data center gold rush: Oracle will build facilities across the U.S. (Wyoming, Texas, Pennsylvania, Michigan, New Mexico) to support this demand. ·      High-risk, high-reward: OpenAI currently generates ~$10B/year in revenue — far less than the $60B/year it will need to cover this contract. Oracle, meanwhile, is concentrating a massive chunk of future revenue on one customer. ·      Market shockwaves: Oracle’s stock surged 40%+ on the news, pushing Larry Ellison’s net worth near $400B, rivaling Elon Musk. This deal underscores the compute bottleneck facing AI labs. Microsoft may have been OpenAI’s exclusive compute partner in the past, but shortages and scaling pressure forced diversification — and Oracle seized the moment. Full article here: Oracle, OpenAI Sign $300 Billion Cloud Deal – WSJ (https://lnkd.in/e9x7wgWm) What do you think — is this a bold bet that cements OpenAI’s leadership, or a compute bubble waiting to burst? #AI #OpenAI #Oracle #CloudComputing #AIInfrastructure #Stargate

🚀 The $300 Billion Bet: OpenAI x Oracle 🤯 History just got made. OpenAI has signed a $300B, 5-year cloud deal with Oracle — the largest cloud computing contract ever. ⚡ Requires 4.5 GW of power (two Hoover Dams!) 📈 Oracle’s stock soared 40% in a day 💸 Larry Ellison’s net worth jumped $100B overnight But here’s the twist: OpenAI expects to lose $44B before 2029 Oracle is piling on debt to build data centers This is more than business — It’s a civilizational wager on the future of AI. Will this be AI’s Manhattan Project moment... or the dot-com bubble of our era? 💭

OpenAI and Oracle just signed one of the biggest cloud contracts in history. The company agreed to buy $300 billion worth of computing power from Oracle over the next five years. That’s more than OpenAI’s current annual revenue by a factor of 30. The deal is part of Project Stargate, OpenAI’s multibillion-dollar plan to build massive AI data centers in the U.S. and abroad. The first facility is already underway in Texas, with more planned across several states and the UAE. For context: the contract requires 4.5 gigawatts of electricity capacity, equal to the power needs of 4 million U.S. homes. Why it matters: ✅ Oracle cements itself as a major AI infrastructure player, sending its stock up over 40% this week. ✅ OpenAI gains a critical partner beyond Microsoft, reducing dependence on a single cloud backer. ✅ The size of the gamble underscores both confidence in AI — and concerns about a possible bubble. The risks are hard to ignore. OpenAI currently generates around $10B a year in revenue, far below the $60B annual spend implied by this deal. It may burn through $40B+ before reaching profitability, which CEO Sam Altman doesn’t expect until 2029. Still, if the bet pays off, Oracle and OpenAI could become the backbone of the AI era. If not, this contract may be remembered as a turning point in Silicon Valley’s appetite for megadeals. Is this deal visionary, or reckless? https://lnkd.in/gkA5jUFr   #OpenAI #Oracle

OpenAI's new $300B deal with Oracle is a power move that just redefined "go big or go home." Let that number sink in.OpenAI just signed a cloud deal with Oracle that's 30x their current revenue. So Oracle is now an AI heavyweight overnight & OpenAI is free from Microsoft's nest. Or the clearest sign yet we're in an AI bubble?#oracle #bigbet #gamechanger #openai #aibubble

The Wall Street Journal just broke news that Oracle and OpenAI just inked a $300B cloud computing deal which is among the biggest in history. What an incredible follow-up to yesterday's Oracle quarterly financial release! The interest aspect to this is how OpenAI will pay for it given that they have recently come out saying they expect $115B in negative cash flow over the next two years. What do you think? #management #venturecapital #privateequity #capitalmarkets #ai #aifinance https://lnkd.in/gYResWuv

OpenAI + Oracle: $300B Compute Bet OpenAI just signed a $300 billion deal with Oracle—one of the largest computing contracts in history. Starting 2027, Oracle will supply massive infrastructure capacity (4.5 GW worth of data centers) to power OpenAI’s next phase, including Project Stargate. Why it matters: > AI runs on compute — software scale now depends on infrastructure scale. Diversification — OpenAI is moving beyond Microsoft to reduce vendor lock-in. > Risk on both sides — OpenAI’s revenues today are far smaller, and Oracle must deliver capacity at unprecedented scale. > Arms race accelerates — rivals like AWS, Google, and Microsoft will respond. This isn’t just a big deal—it’s a signal: the AI future is built on who controls the compute. 👉 Is this bold vision or risky overcommitment? #AI #Cloud #OpenAI #Oracle #DigitalTransformation

Oracle shocked the world yesterday after reporting that it added more than $317 billion in future contract revenue during its latest quarter, much of it related to the #AI boom. It turns out that a huge volume of those billions were set in motion by just one company: OpenAI. Oracle and OpenAI signed a $300 billion deal over roughly five years for computing power, according to an important scoop from Wall Street Journal tech reporter Berber Jin. Oracle rose by 35%, putting Chairman Larry Ellison in contention for the title of the world’s richest person. The deal comes with plenty of risk and potential reward for both companies. It propels Oracle into the mix of AI giants, even though the company is swimming in debt compared to peers like Microsoft and Nvidia. For OpenAI, the world’s largest startup, it offers a way to solve its near-constant shortage of computing power, which the company uses to train new models. But the world’s largest startup is losing billions of dollars a year and won’t turn a profit until roughly 2029, raising questions about how it will come up with the $60 billion it will have to pay on average every year for the Oracle deal. Read Berber’s story in The Wall Street Journal to understand more about the deal underlying Oracle’s historic quarter and what it means for both companies. https://lnkd.in/g5pTWDrJ

Oracle sent its shares soaring after markets closed yesterday after reporting that it signed multiple multi-billion-dollar contracts with several customers. Now, we have an idea of who those customers might be. Oracle signed a deal with OpenAI for the AI company to purchase $300 billion worth of compute power over a span of about five years, according to reporting from The Wall Street Journal Journal. OpenAI would start purchasing this compute in 2027. If the WSJ’s reporting is correct, this would be one of the largest cloud contracts ever signed. OpenAI and Oracle did not respond to a request for confirmation or comment. https://lnkd.in/e-tENZB8 #OpenAI #Oracle #CloudComputingDeal

The AI infrastructure race isn’t just between AWS, Azure, and GCP anymore. Oracle just forced its way into the conversation with numbers too big to ignore. Oracle's FY2026Q1 results sent the stock soaring 36%: - Projection of $114B in revenue by 2029 - a 14x increase in growth! - $35B in CapEx in FY26 - $300B deal with OpenAI. OpenAI's current annualized revenue is ~$14B/yr (WSJ) - Investing $5B over five years in the UK to expand AI infrastructure, GenAI services, and capabilities for government and defense Oracle is leaning into AI inference at scale and is making a bet that inference is where the majority of enterprise value will be created as customer expand their GPU footprint. For enterprises, implications are big: 1. More options beyond AWS/Azure/GCP for AI workloads, expanding cloud flexibility 2. Rising pressure on CIOs and product leaders to align AI strategy with infrastructure economics 3. More thoughtful consideration is needed when selecting the appropriate AI model + infrastructure for the product being built https://lnkd.in/gqeiyQqF https://lnkd.in/gpcwAKFY