Came across this on Bloomberg: Microsoft is winding down its AI compute rental deal with Oracle, signed in 2023—shutting down rented servers over the past few months and not renewing the contract.
The reason is pretty straightforward: those machines use a previous-generation Nvidia chip that doesn’t match the computing power Microsoft needs now. Reports also say Microsoft is re-examining more than $80 billion in rental commitments with external cloud providers including CoreWeave, Nscale, and Nebius, because they’re too expensive and too slow. This week, reports also emerged that Microsoft rejected Nscale’s option to expand in Texas.
Oracle shares fell about 3% in response. The company’s position is that demand for AI infrastructure remains strong, and that older chips can still be rented out at a premium. As major tech companies get more cost-conscious about renting compute, and data centers come under debt pressure, the AI infrastructure boom is starting to favor newer generations of equipment.
#AI #微软 #Oracle
The reason is pretty straightforward: those machines use a previous-generation Nvidia chip that doesn’t match the computing power Microsoft needs now. Reports also say Microsoft is re-examining more than $80 billion in rental commitments with external cloud providers including CoreWeave, Nscale, and Nebius, because they’re too expensive and too slow. This week, reports also emerged that Microsoft rejected Nscale’s option to expand in Texas.
Oracle shares fell about 3% in response. The company’s position is that demand for AI infrastructure remains strong, and that older chips can still be rented out at a premium. As major tech companies get more cost-conscious about renting compute, and data centers come under debt pressure, the AI infrastructure boom is starting to favor newer generations of equipment.
#AI #微软 #Oracle
