Oracle and AMD are stepping up their collaboration, setting their sights on future generations of AI infrastructure. According to the companies’ announcement, Oracle will begin offering cloud services based on upcoming AMD MI450 chips – processors designed specifically for artificial intelligence workloads. The first 50,000 chips will hit Oracle’s data centres in the third quarter of 2026, with the scale of deployments expected to grow in subsequent years.
This partnership is part of a growing market pressure: technology companies are racing to secure enough computing power to train ever larger AI models. Oracle – until now mainly associated with business software and databases – has been consistently rebuilding its cloud for AI, hitting the segment of customers looking for alternatives to AWS, Azure or Google Cloud. Its partnership with AMD gives it an advantage: the ability to offer high-performance ‘AI superclusters’ based on Helios designs, competitive with Nvidia solutions.
For AMD, this is yet another strategic deal confirming its ambitions in the AI market, hitherto dominated by Nvidia. Following last week’s news of chip deliveries to OpenAI, the deal with Oracle reinforces the narrative that the MI450 is set to be a viable alternative to the H100 or B200. What’s more, AMD has been designing the MI450 in collaboration with OpenAI, which signals that the chips were being developed for generational models with a huge appetite for computing power.
The market reacted immediately: the AMD share price rose more than 3% before the session, against a broader sector decline linked to concerns about US-China trade relations. Oracle saw a slight correction, which could be interpreted as a cool reaction by investors to the rising costs of infrastructure expansion.
Hovering in the background is an even bigger storyline: OpenAI. According to reports, Sam Altman’s startup was expected to commit to buying up to $300 billion worth of Oracle’s computing power over five years – which would be one of the largest cloud deals in history. If confirmed, Oracle would become the infrastructure pillar of generational artificial intelligence.m
