Meta Platforms (NASDAQ:META) is reportedly considering the use of Oracle’s (NYSE:ORCL) cloud services for training and deploying artificial intelligence models in a multiyear deal worth approximately $20B, according to Bloomberg.
Oracle shares climbed 4% by the time markets closed on Friday.
The potential deal, which is in a discussion phase, could increase or otherwise change before being finalized, the report said, citing people acquainted with the matter.
Earlier this month, it was revealed Oracle plans to provide Microsoft-backed (MSFT) OpenAI up to 4.5 gigawatts of capacity over the next five years for up to $300B.
“We have signed significant cloud contracts with the who’s who of AI, including OpenAI, xAI, Meta, NVIDIA (NVDA), AMD (AMD) and many others,” said Oracle CEO Safra Catz during the company’s first quarter earnings call.
Earlier this week, details surfaced that Oracle is part of a consortium looking to keep ByteDance’s (BDNCE) TikTok operating in the U.S. under a possible framework deal between China and the U.S. Oracle will have a TikTok cloud deal under the new agreement, which is expected to close within the next 45 days.