Oracle and Meta in Talks for $20 Billion Cloud Deal to Fuel AI Race

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Oracle is reportedly in advanced discussions with Meta over a multi-year cloud computing deal valued at around $20 billion, according to a source familiar with the matter. The agreement would see Oracle provide Meta with computing capacity to train and deploy artificial intelligence models, supplementing the social media giant’s existing partnerships with other cloud providers.

Neither Meta nor Oracle commented on the talks, but the move highlights Meta’s push to secure faster, large-scale access to the computing power needed to support its growing AI ambitions.

The potential deal comes just a week after reports that OpenAI signed a massive $300 billion contract with Oracle for cloud services, one of the largest in history. Oracle has also struck partnerships with Amazon, Microsoft, and Google, enabling their cloud customers to integrate Oracle Cloud Infrastructure (OCI) alongside native services. Revenue from these collaborations surged more than sixteen-fold in the most recent quarter.

Oracle recently announced four multi-billion-dollar contracts and signaled that more were on the way, forecasting that booked revenue from its cloud unit could exceed half a trillion dollars. For Meta, a long-term deal with Oracle would further cement its strategy of diversifying cloud suppliers to avoid bottlenecks and keep pace in the intensifying AI arms race.