Oracle, Microsoft and OpenAI are teaming up to expand the Microsoft Azure AI platform to Oracle Cloud Infrastructure (OCI) in response to the increasing demand for AI. This collaboration is believed to be influenced, at least in part, by the integration of Apple Intelligence into iOS 18, iPadOS 18, and macOS Sequoia, although it has not been officially confirmed.
During its WWDC event, Apple emphasized its focus on AI, outlining how Apple Intelligence will utilize on-device processing and Private Cloud Compute (PCC) to handle complex data and larger foundation models. It will also offer access to ChatGPT when necessary (with user consent), leading to a surge in traffic for OpenAI.
“We are thrilled to collaborate with Microsoft and Oracle. OCI will expand Azure’s platform and support OpenAI’s growth,” stated Sam Altman, CEO of OpenAI.
The Apple effect
ChatGPT currently serves generative AI services to over 100 million users monthly, a number expected to significantly increase once Apple Intelligence becomes widely available.
OCI’s AI capabilities allow startups and businesses to create and train models in Oracle’s distributed cloud. For training LLMs, OCI Supercluster can scale up to 64k Nvidia Blackwell GPUs or GB200 Grace Blackwell Superchips, connected by ultra-low-latency RDMA cluster networking and a variety of HPC storage options, providing robust and efficient AI infrastructure.
OCI Compute virtual machines and OCI’s bare metal Nvidia GPU instances can support applications for generative AI, computer vision, natural language processing, recommendation systems, and more.
“The competition to build the world’s most advanced large language model is fierce, driving high demand for Oracle’s Gen2 AI infrastructure,” affirmed Larry Ellison, Oracle Chairman and CTO. “Industry leaders like OpenAI are selecting OCI for its unmatched speed and cost-effective AI infrastructure.”
While the introduction of Apple Intelligence will certainly drive AI demand, it is not the sole reason for OpenAI’s pursuit of this partnership. The forthcoming launch of Copilot+ PCs is also likely a contributing factor.
