Musk's xAI Eyes $10B Oracle Cloud Deal

Elon Musk's artificial intelligence startup, xAI, is reportedly in advanced discussions with Oracle for a multiyear deal worth $10 billion to rent cloud servers. This potential agreement, similar in size to those made by OpenAI and Anthropic with Oracle's competitors, would position xAI as one of Oracle's largest customers. The news has significantly boosted Oracle's stock price, with shares rising by up to 5.3% following the announcement. The deal is seen as a strategic move by Musk to enhance xAI's capabilities in the competitive AI market, leveraging Oracle's infrastructure to support its operations.