From The Next Web · Ana Maria Constantin · · 1m
Microsoft ends Oracle AI computing deal
Microsoft is winding down its 2023 contract to rent AI computing power from Oracle, citing older hardware that no longer meets its needs.
In brief
Microsoft is winding down its 2023 contract to rent AI computing power from Oracle, citing older hardware that no longer meets its needs. Microsoft has stopped renewing its Oracle AI computing contract after the servers with older Nvidia chips no longer matched its requirements. Originally reported by The Next Web.
Microsoft ends Oracle AI deal
Microsoft is winding down a two thousand twenty-three contract to rent AI computing power from Oracle after deciding not to renew it, Bloomberg reported.
Older chips no longer fit needs
The servers ran older Nvidia chips that no longer matched what Microsoft needed. Gartner warns much AI infrastructure spending could face large write-downs as newer chips arrive.
Microsoft reassessing eighty billion in contracts
Microsoft has committed more than eighty billion dollars to rent capacity from other cloud firms such as CoreWeave, Nscale and Nebius. Its leaders have grown frustrated with their costs and delays.
Here's the gist
Microsoft has stopped renewing its Oracle AI computing contract after the servers with older Nvidia chips no longer matched its requirements.




