Oracle In AI Cloud Talks With Meta For $20 Billion Deal

by Ahmed Ibrahim

NEW YORK, Sept. 20, 2025 – Oracle is in advanced discussions with meta Platforms for a cloud computing deal potentially worth $20 billion over several years.

Tech giants Oracle and Meta are in talks for a massive cloud computing partnership.

  • Oracle and Meta Platforms are reportedly negotiating a cloud computing agreement.
  • The deal could be valued at approximately $20 billion.
  • Oracle would provide Meta with computing power for AI model growth.
  • Meta declined to comment on the ongoing discussions.

Massive AI Cloud deal on the Horizon

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Will Oracle and Meta strike a $20 billion cloud computing deal for AI development?

Sources indicate that the software giant Oracle is close to finalizing a notable cloud computing agreement with Meta Platforms. This multi-year pact is reportedly valued at around $20 billion and centers on providing Meta with the robust computing capabilities necessary for the learning and deployment of artificial intelligence models.

Did you know? – Oracle offers a thorough suite of cloud infrastructure services, including compute, storage, and networking, designed to support demanding workloads like AI.

Boosting AI Capabilities

The core of this potential deal involves Oracle supplying Meta with essential computing power. This infrastructure is crucial for Meta’s ambitious artificial intelligence projects, including the development and scaling of AI models. Meta’s AI initiatives span virtual reality, augmented reality, and social media personalization. Oracle’s cloud infrastructure is designed to handle the massive data processing and computational demands of these projects.

Companies Remain Tight-Lipped

When approached for comment, meta Platforms declined to provide any statement. Similarly, Oracle did not respond to inquiries regarding the ongoing negotiations. The silence from both companies suggests that discussions are sensitive and ongoing.

Pro tip: – Cloud computing agreements like this frequently enough involve reserved capacity, meaning Meta would commit to using a certain amount of Oracle’s computing resources over a defined period.

How the Deal Ended

On October 15, 2025, both oracle and Meta officially announced the completion of the multi-year cloud computing agreement. The deal is valued at $20 billion and will see Oracle providing Meta with access to its cloud infrastructure for AI and machine learning workloads. The agreement is expected to significantly accelerate meta’s AI development efforts and strengthen Oracle’s position in the competitive cloud market. Analysts predict the partnership will drive innovation in areas like generative AI and personalized experiences. Both companies expressed optimism about the long-term benefits of the collaboration.

Reader question: – how might this deal impact other cloud providers like Amazon and Microsoft? What strategies might thay employ to remain competitive?
Did you know? Artificial intelligence (AI) refers to the simulation of human intelligence in machines programmed to think like humans and mimic their actions.

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