Oracle has terminated a five-year agreement with Tencent that was valued at approximately $7 billion. The deal involved leasing computing power for artificial intelligence, specifically providing access to 100 000 advanced AI accelerators located in Oracle data centers across Southeast Asia.
The cancellation follows direct pressure from the US administration under Donald Trump, with officials expressing concerns regarding the partnership. Simultaneously, Tencent faced pressure from Chinese authorities, as officials from Guangdong province visited the company to encourage the use of domestic chip manufacturers.
This contract was intended to be the largest international agreement for Tencent regarding the lease of computing resources. These high-end chips remain unavailable within China due to both US export restrictions and local regulatory policies imposed by Beijing.
While reports of the deal's cancellation surfaced via Financial Times, Reuters noted that it could not independently verify the information. Representatives from Oracle, Tencent, and the White House have not provided comments on the matter.
