Cloud · October 30, 2026
Oracle expands Nvidia deal and adds Google, Cerebras AI chips
Oracle expanded its artificial intelligence chip supply agreement with Nvidia and announced on Tuesday that it will begin offering processors from the manufacturer's competitors, including chips from Google and Cerebras Systems. This move diversifies the company's cloud infrastructure to serve various artificial intelligence workload profiles with different technologies.
Under the expanded agreement with Nvidia, Oracle committed to increasing its capacity for multi-gigawatt scale using the manufacturer's new generation of Vera Rubin AI servers. The specific value of this contract was not disclosed. Jensen Huang, the chief executive officer of Nvidia, stated that Vera Rubin systems can generate up to 40 billion dollars in revenue per gigawatt for the company. Despite using Nvidia hardware, Oracle chose to replace some of the manufacturer's network chips with its own internally developed Acceleron network chips.
In addition to Google's tensor processing units, Oracle plans to offer chips from SambaNova Systems, which is supported by Intel, and from Cerebras Systems. These companies manufacture chips designed for inference, the stage where AI systems respond to user requests. While Nvidia dominates the model training market, the inference segment is described as more competitive and diverse. Mahesh Thiagarajan, Oracle's president of cloud infrastructure, explained that different AI workloads have different computational needs. He said this choice gives customers the flexibility to select the right infrastructure for performance, processing capacity, and cost efficiency for each specific AI workload.
Andrew Feldman, the chief executive officer of Cerebras, stated that the agreement with Oracle represents a huge expansion of its first-tier customer base. He noted that the company is being deployed in third-party data centers on a large scale. Oracle did not disclose how it intends to finance the chip acquisitions. In an earnings call the previous month, the company said that customers are increasingly assuming the costs of the chips. The company maintained its capital expenditure projection between 90 billion dollars and 95 billion dollars for fiscal year 2027. Oracle also plans to hold an investor presentation day this week.