Oracle, Microsoft, and OpenAI announced on the 13th that they have signed a partnership
Oracle, Microsoft, and OpenAI recently revealed a collaborative partnership agreement on the 13th. This strategic alliance aims to broaden the capabilities of the MS Azure artificial intelligence (AI) platform by leveraging Oracle Cloud Infrastructure (OCI) and offering additional functionalities to OpenAI.
Collaboration Background
This collaboration stemmed from prior discussions between Oracle and Microsoft on sharing computing resources to meet the escalating demand for AI technologies. Both entities have developed a framework to counterbalance Amazon Web Services (AWS), the leading player in the industry, by fostering synergies, including integrating public cloud services.
Cloud Market Insights
According to Visual Capitalist, a multinational information analysis firm, AWS captured approximately 31% of the global cloud market in the last quarter of the previous year. Subsequently, Microsoft Azure held a 24% share, followed by Google Cloud at 11%. Conversely, Oracle's presence in the market remains relatively modest, hovering in the 2-3% range.
Strategic Partnerships
Oracle has proactively engaged with its industry peers, including Microsoft and Google. The company recently disclosed its plans to offer Google access to its database services. By the end of this year, Oracle intends to launch "Oracle Database @Google Cloud," an integrated service combining its database solutions with Google Cloud.
Moreover, Oracle has forged collaborations to bolster OpenAI's computational capabilities by leasing cloud servers to Microsoft. OpenAI, the entity behind ChatGPT, delivers generative AI services to over 100 million users monthly, presenting lucrative business prospects for Oracle.
Industry Leaders' Perspectives
Sam Altman, CEO of OpenAI, expressed enthusiasm about the collaboration, stating, "We are pleased to work with Microsoft and Oracle. The expanded Azure platform through OCI will enhance OpenAI's growth trajectory." Larry Ellison, Oracle's Chairman and CTO, emphasized the intensifying competition in developing large language models (LLMs) and highlighted the surging demand for Oracle's advanced AI infrastructure.
Oracle's AI Innovations
Several AI-focused enterprises worldwide are already leveraging OCI's cutting-edge capabilities. Noteworthy companies utilizing OCI Supercluster for advancing Generative AI models include Adopt, Modal, MosaicML, NVIDIA, Reka, Suno, Together AI, Twelve Labs, and xAI. Oracle's differentiators in AI infrastructure empower businesses of all sizes to expedite AI model development and training seamlessly across its distributed cloud.
OCI's Supercluster facilitates LLM training by connecting up to 64k Nvidia Blackwell GPUs or GB200 Grace Blackwell superchips via ultra-low latency RDMA cluster networking and HPC storage. Additionally, OCI's Compute Virtual Machines and Bare Metal Nvidia GPU instances bolster applications in various domains like Generative AI, computer vision, natural language processing, and recommendation systems.
Industry Leaders' Perspectives
Sam Altman, CEO of OpenAI, expressed enthusiasm about the collaboration, stating, "We are pleased to work with Microsoft and Oracle. The expanded Azure platform through OCI will enhance OpenAI's growth trajectory." Larry Ellison, Oracle's Chairman and CTO, emphasized the intensifying competition in developing large language models (LLMs) and highlighted the surging demand for Oracle's advanced AI infrastructure.
