Oracle, Google cloud units strike deal for Oracle to sell Gemini models


Figurines with computers and smartphones are seen in front of Oracle logo in this illustration taken, February 19, 2024. REUTERS/Dado Ruvic/Illustration

SAN FRANCISCO (Reuters) -Oracle and Alphabet said on Thursday their cloud computing units have struck a deal to offer Google's Gemini artificialintelligence models through Oracle's cloud computingservices and business applications.

The deal, similar to one that Oracle struck with Elon Musk's xAI in June, will let software developers tap Google's models to generate text, video, images and audio.

Businesses that use Oracle's various applications for corporate finances, human resources and supply chain planning will also be able to choose to use Google's models inside those apps.

The deal is about distribution. The models themselves will run on Google's servers, but developers using Oracle's cloud will be able to access them through a Google product called Vertex AI, which Oracle will integrate into its offerings.

Those Oracle customers will be able to pay for the Google AI technologies using the same system of Oracle cloud credits they use to pay for Oracle services. The two companies did not disclose what, if any,payments will flow between them as part of the deal.

For Oracle, the move advances the company's strategy of offering a menu of AI options to its customers rather than trying to push its own technology.

For Google, it represents another step in its effort to expand the reach of its cloud offerings and win corporate customers away from rivals such as Microsoft.

(Reporting by Stephen Nellis in San Francisco; Editing by Muralikumar Anantharaman and Stephen Coates)

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