Sources: Tencent signed a ~$7B, five-year deal with Oracle this year for access to ~100K advanced AI chips unavailable in China via Southeast Asian data centers (Zijing Wu/Financial Times)
WeChat owner strikes deal to access US group's south-east Asia data centres amid race with ByteDance and Alibaba
Tencent has signed a five-year deal with Oracle worth around $7 billion. The agreement allows Tencent to access approximately 100,000 advanced AI chips via Oracle's data centers in Southeast Asia. These chips are not available in China.
The deal, which includes an upfront payment of about 30%, was reportedly agreed upon this year and will enable Tencent to expand its AI capabilities. According to The Business Times, the Chinese technology giant has taken a five-year lease across multiple Oracle data centers in Southeast Asia.
Tencent's AI expansion comes as Chinese firms compete to secure AI chips amid US export curbs and Beijing's push for home-grown alternatives to US technology providers. The company recently released a preview version of its new AI image-generation model for professional creators.
Brief written by urgent.news from Techmeme, The Business Times - Companies & Markets, Finextra — 3 reports on this story. Machine-written — may contain errors; check the original before relying on it.
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