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Oracle Eyes $20 Billion Meta Cloud Deal to Boost AI Growth

Oracle

Business Honor
22 September, 2025

Oracle is negotiating a $20 billion cloud deal with Meta, strengthening its position as a top AI infrastructure provider.

Oracle is said to be in advanced negotiations with Meta to close a multi-year cloud computing contract worth around $20 billion, as per a report by Reuters. The deal, if finalized, would be one of the largest cloud deals for Oracle and go a long way in strengthening the company's position in the artificial intelligence (AI) infrastructure market. The agreement would have Oracle supply computing capacity to Meta, complementing the tech giant's existing cloud providers. Meta is pushing hard to acquire more computing capacity to drive the training and deployment of its AI models, and Oracle's strong cloud infrastructure—Oracle Cloud Infrastructure (OCI)—is set to satisfy those growing needs.

This potential alliance follows shortly after another massive cloud deal, wherein OpenAI reportedly agreed to purchase $300 billion worth of computer capacity from Oracle for five years. The transaction, if material, would be one of the biggest cloud deals ever, reflecting Oracle's strategic bet to emerge as a leading infrastructure provider to AI-driven businesses.

Oracle has been rapidly growing its cloud business, signing significant contracts with other tech industry titans like Amazon, Alphabet (Google), and Microsoft. The partnerships enable users to execute Oracle Cloud Infrastructure in conjunction with native services, a move that has generated a sixteen-fold jump in revenues from the deals within the first quarter alone.

In a recent earnings call, Oracle revealed that it expects to secure additional multi-billion-dollar customers in the coming months, with OCI’s booked revenue projected to exceed $500 billion. This rapid growth reflects the industry-wide race among AI firms like OpenAI and xAI to secure sufficient computing capacity. In another development, Oracle founder Larry Ellison was said to have added $100 billion to his fortune in a day, becoming the world's richest individual.