Oracle Corporation (ORCL) Plans $40 Billion Nvidia Chip Purchase for OpenAI Data Center Project, FT Says

Oracle Corporation (NYSE:ORCL) is set to spend about $40 billion on Nvidia’s top-tier chips to support OpenAI’s upcoming data center in the US, according to Financial Times.

The data center, located in Abilene, Texas, is part of the US Stargate Project—an initiative driven by leading AI companies to strengthen the nation’s position in the global AI race.

As part of the deal, Oracle Corporation (NYSE:ORCL) will buy roughly 400,000 of Nvidia’s powerful GB200 chips and lease the computing power to OpenAI, sources told the FT. Oracle, known for its enterprise cloud services, has also signed a 15-year lease for the site. The data center is expected to be fully operational by mid-2026.

This move is seen as a step toward reducing OpenAI’s reliance on Microsoft, whose computing resources have struggled to keep up with the growing demands of OpenAI’s AI models.

OpenAI and Oracle Corporation (NYSE:ORCL) did not immediately respond to requests for comment. Nvidia also declined to comment.

ORCL has surged by over 26% in the past 12 months.

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