Market Chatter: Oracle, Tencent's AI Chip Deal Falls Through Amid US Pressure

MT Newswires Live11-04 15:05

Oracle has terminated an AI chip agreement with Tencent (HKG:0700) over pressure from the Donald Trump-led U.S. government, the Financial Times reported Wednesday.

Oracle and Tencent were each visited by top officials raising concerts about the deal, according to two people with knowledge of the matter.

Under the estimated $7 billion five-year lease contract, Oracle would have provided Tencent with access to up to 100,000 advanced AI chips across data centers in south-east Asia.

Oracle, Tencent, and the White House did not immediately respond to MT Newswires' request for a comment.

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