Shulou(Shulou.com)11/24 Report--

According to a person with direct knowledge of the negotiations, Oracle (ORCL) and Microsoft (MSFT) recently discussed an unusual agreement that if either company provides insufficient computing power to cloud customers using large-scale AI, the two sides will rent servers to each other.

The deal will help the two competing cloud service providers meet the growing demand for servers that can run AI software, which has led to server shortages.

As executives such as Oracle Chairman Larry Ellison finalize a broader AI strategy, discussions about the proposed deal have been ongoing, including how to use AI software, possibly from ChatGPT's developer Openai, to improve the company's core software products, the person familiar with the matter said. Oracle is also considering developing AI software internally and selling it to cloud customers.

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