China’s Tencent Leases 100,000 Chips From Oracle to Accelerate AI Push, FT Reports
The deal is valued at about $7 billion and includes an upfront payment of roughly 30%, the Financial Times reported.
- On Wednesday, the Financial Times reported Tencent signed a five-year lease with Oracle to access about 100,000 advanced AI chips across multiple data centres in South-east Asia.
- Tencent secured these chips because they are not available in China, as Chinese firms race to acquire hardware amid tightening US export curbs.
- The deal is estimated to be worth about $7 billion, with an upfront payment of about 30 per cent required, according to the report.
- These computing resources support Tencent's surging AI expansion, including large language models and a recently released preview of an AI image-generation tool.
- Reuters could not immediately verify the report, and neither Oracle nor Tencent responded to requests for comment regarding the deal.
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39 Articles
Tencent leases 100,000 Oracle AI chips abroad in a $7bn deal
Tencent has signed a five-year lease to use about 100,000 advanced AI chips from Oracle. People familiar with the matter told the Financial Times about the deal. The chips, which are not available in China, sit in several Oracle data centres in South-East Asia. The deal, signed this year, is worth about $7bn, and Tencent […] This story continues at The Next Web
China’s Tencent leases 100,000 chips from Oracle to accelerate AI push, FT reports
Tencent signed its largest overseas lease deal with US cloud provider Oracle to access about 100,000 advanced AI chips that were not available in China, the Financial Times reported on Wednesday, citing people familiar with the matter.
Oracle's shares, around 11:28 this Thursday (1st), fell 1% on the New York Stock Exchange (Nyse), despite a report pointing out that the technology giant closed a $7 billion contract to provide cloud computing services to Tencent, a Chinese conglomerate owner of WeChat. Exclusive material for subscribers. To have full access, access the link of the subject and register.
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