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Microsoft reportedly scales back Oracle cloud capacity deal
Microsoft is reconsidering agreements to rent server capacity from “neoclouds” for its artificial intelligence work and has begun switching off capacity rented from Oracle, Bloomberg reports. The company declined to renew a deal signed in 2023, according to the report.
Sources cited by Bloomberg said Oracle’s computing capacity relied on older Nvidia chips, making it less useful to Microsoft. The report describes the company as winding down its cloud AI arrangement with Oracle.
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