Oracle (ORCL) has entered a major cloud agreement with OpenAI, committing to $300 billion in computing power over the next five years. The deal underscores Oracle’s expanding role in supporting large-scale AI operations and reflects the growing demand for high-performance cloud infrastructure.

To fund ongoing capital projects, Oracle is increasing its debt, a trend observed across major tech firms amid concerns about achieving sustainable returns from AI investments.

Additionally, Oracle plans to integrate Nvidia’s Ethernet switches into its AI data centers, aiming to enhance network efficiency and support the heavy computational demands of advanced AI workloads. These moves position Oracle as a key player in enterprise AI infrastructure and cloud solutions.