Investors are increasingly divided in the AI sector, leading to significant losses for Sam Altman's associates. SoftBank's stock has plummeted 40%, and Oracle has lost all its gains following a high-profile AI deal. The trio's ambitious Stargate AI infrastructure project, aimed at building data centers, faces uncertainty amid these market shifts.

Oracle's recent fiscal report revealed a staggering increase in contracted revenue, driven by rising demand for AI computing. The company predicts its cloud infrastructure revenue will reach $114 billion by 2029, suggesting a potential for significant growth similar to that of Nvidia.

Oracle Corporation has announced the promotion of Clay Magouyrk and Mike Sicilia to co-CEOs, succeeding Safra Catz, who becomes Executive Vice Chair of the Board. Both Magouyrk and Sicilia, with extensive backgrounds in cloud infrastructure and industry applications, aim to lead Oracle into the AI era, enhancing its capabilities in artificial intelligence across various sectors. Additionally, the company has made other executive promotions to strengthen its leadership team.

Oracle plans to spend approximately $40 billion on high-performance Nvidia chips to support OpenAI's new data center in Abilene, Texas. This initiative is part of the U.S. Stargate Project, aimed at enhancing the country's position in the competitive AI industry. The purchase will involve around 400,000 of Nvidia's GB200 chips, which Oracle will lease to OpenAI.

Oracle's co-CEOs, Mike Sicilia and Clay Magouyrk, are advocating for the company's significant investment in new data centers, which they claim will enhance AI capabilities for businesses. They emphasize the provision of applied AI through infrastructure, analytics, and applications.

OpenAI has entered into a monumental agreement with Oracle, committing to purchase $300 billion in computing power over the next five years. This deal is one of the largest cloud contracts in history, reflecting a significant increase in spending on AI infrastructure despite concerns about a potential market bubble.

Oracle is negotiating a $20 billion multi-year cloud computing deal with Meta, aimed at enhancing Meta's AI capabilities by providing additional computing capacity. This move reflects Meta's ongoing efforts to secure faster access to necessary computing power alongside its existing cloud providers.