Microsoft is winding down Oracle deal to rent AI cloud capacity, Bloomberg News reports
Read a summary of this article on FAST.
Get bite-sized news via a new
cards interface. Give it a try.
Click here to return to FAST
Tap here to return to FAST
FAST
Nov 6 : Microsoft is winding down an arrangement to rent AI computing from Oracle as part of a larger reassessment of billions of dollars in cloud partnerships, Bloomberg News reported on Friday, citing people familiar with the matter.
Oracle shares fell nearly 3 per cent in afternoon trading, while Microsoft was little changed. Both stocks have come under pressure this week after a Democratic midterm election sweep raised worries of tighter scrutiny of new data centers, which could threaten the AI industry’s breakneck expansion.
The Bloomberg report said Microsoft had been turning off rented computing capacity from Oracle in recent months after declining to renew the contract.
Over time, the computing capacity Microsoft was renting became less valuable as it no longer met the company’s evolving needs, the report said, noting that the Oracle hardware used an older generation of Nvidia chips.
Guess Word
Crack the word, one row at a time
Buzzword
Create words using the given letters
Mini Sudoku
Tiny puzzle, mighty brain teaser
Mini Crossword
Small grid, big challenge
Word Search
Spot as many words as you can
Microsoft and Oracle did not immediately respond to Reuters’ requests for comment.
The report adds to signs that Microsoft is rethinking how it secures computing capacity to get more out of its massive AI investments.
AI cloud company IREN said on Thursday it had delayed some infrastructure deliveries after Microsoft requested changes to its network design.
The move pushed back IREN’s target for bringing more than $4 billion in annualized revenue capacity online from year-end to January, with a possible further delay until late February.
Source: Reuters
Sign up for our newsletters
Get the CNA app
Stay updated with notifications for breaking news and our best stories
Get WhatsApp alerts
Join our channel for the top reads for the day on your preferred chat app
Get bite-sized news via a new
cards interface. Give it a try.
Click here to return to FAST
Tap here to return to FAST
FAST
