Oracle has big ambitions for artificial intelligence. And they’re turning to Advanced Micro Devices to build a new supercluster of GPUs to get closer to reaching them.

‍What’s happening:‍

• Advanced Micro Devices (NASDAQ: AMD) has landed a new deal with Oracle (NYSE: ORCL) to provide their Instinct MI300X GPUs to build out a new supercluster for artificial intelligence computing
  

Why it matters:‍

• Advanced Micro Devices will deploy thousands of their GPUs in the new deal with Oracle, which is a highly significant hardware deal
  
• The new supercluster is aimed at dramatically accelerating Oracle’s capabilities for artificial intelligence workloads, machine learning and high performance computing
  

Going deeper:‍

• Oracle has been publicly outspoken about their plans for becoming a dominant force in artificial intelligence and are aiming to integrate more generative artificial intelligence into their software platforms, as well for data and security purposes
  
• Building out massive superclusters and supercomputers has been a growing trend, with Elon Musk’s xAI previously raising billions in large part to acquire tens of thousands of Nvidia (NASDAQ: NVDA) GPUs
  

The intrigue:‍

• Even prominent publicly listed Bitcoin mining companies such as Hut 8 (NASDAQ: HUT) have been deploying smaller scale GPU clusters recently due to the massive demand for artificial intelligence cloud computing

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