Why the Oracle-OpenAI deal caught Wall Street by surprise

This week, OpenAI and Oracle shocked the markets with a surprise $ 300 billion, five -year contractThe cloud supplier is part of an enthusiasm of the new business that has sent the stock touches the sky. However, the markets should not be surprised. The agreement is a reminder that despite Oracle’s legacy status, the company still plays a major role in the AI ​​infrastructure.

In the OpenAI, the agreement reveals more than the lack of details. For one, the startup’s desire to pay so much for calculations measures startup hunger – even if electricity says electricity from the power that is coming from the calculation or how it will pay it is not clear.

Co -President of the research agency Gartner told Dacte TechCrunch why both sides were interested in the agreement. Working with a number of infrastructure suppliers for the Openai is understandable, he mentioned. It also varies the organization’s infrastructure – to spread the risk among several cloud suppliers – and the OpenA offers a scaling facility than competitors.

“Open seems to be the most wide Global AI Super Computing Foundation for the extreme scale, where the appropriate scaling is appropriate,” said Dyck. “It’s pretty unique. It is probably imitative of what the model ecosystem should look like”

Some industrial observers were surprised that Oracle was involved in the AI ​​Boom compared to the cloud competitors like Google, Microsoft Azure and AWS. However, the duck has argued that observers should not be so surprised: Oracle has previously worked with hypertelers and provides infrastructure for Tikat’s huge US business.

“For decades, they actually created the original infrastructure power that enabled them to provide extreme scale and performance as part of their cloud infrastructure,” said Dyck.

Pay and strength to pay

Even the stock market celebrates the contract, the original details are missing and the questions around the strength and payment remains.

Open has made a string of infrastructure investment in the last one year, with everyone with eye popping price tags. Opina has committed to spend about $ 60 billion a year to count from Oracle and to calculate 10 billion dollars To develop custom AI chips with Broadcom.

এদিকে, ওপেনাই জুনে বলেছিল এটি আঘাত 10 billion dollars in the annual recurrent revenueFrom about 5.5 billion dollars last year. This figure includes the company’s consumer product, ChatzPT business product and its API earnings. And when its CEO Sam Altman has Draw a pink picture of his future possibilities In the case of customers, products and earnings, the company is burning a few billion dollars every year with cash.

Energy is another question, or more precisely where the companies plan the energy source needed to calculate this level.

Although industrial observers are predicting a close-over-mastered enthusiasm for natural gas, although Solar and battery Many markets are in the better position to provide very soon and low cost electricity. There are also technology companies Big bet on atomicThe

Despite the ongoing market title, the effect of the expected growth of the opening is not completely unexpected. According to this, data centers are expected to consume 14% of all electricity in the United States Report Rhodium Group was published yesterday.

The calculation has always become a barrier for AI companies, so that the investors remain Thousands of Nvidia Chip bought To ensure that they have access to their required energy in startups. Andresen Harovits are reported to have bought more than 20,7 GPUs, Nat Fredman and Daniel Gross rented access to the 5 GPU cluster (though probably probably. Meta now owns that)

However, the calculation is worthless without energy. To ensure that their data centers are being juice, large technology companies have spread Solar farmBuying Nuclear power plantAnd deals with the inank Geothermal StartupsThe

So far the open was relatively quiet on that front. CEO Sam Altman has kept several prominent bats in the power sector, including Okay heyyyh, HeilionAnd XototHowever, the company itself did not throw money in a place like Google, Meta or Amazon.

With a 4.5 GHz count agreement, it may soon change.

The company can take an indirect role, provides Oracle to operate physical infrastructure – it has a broad experience – just like the Openai invested in startups connected to the future electricity needed. It will give the agency “wealth light”, which will undoubtedly make its investors happy and help to adjust to other software -centric AI startups, and not with successful technology agencies, which are overwhelmed by the Pris’s infrastructure.