$30 Billion Oracle Deal Could Secretly Boost Tesla's AI Power Play
Warning! GuruFocus has detected 10 Warning Signs with ORCL.
Here's where it gets interesting: G42 is already using Tesla (NASDAQ:TSLA)'s Dojo chips to train some of its advanced AI models. And as part of the new partnership, Oracle data centers will now be optimized to handle Dojo-based workloads for G42. This doesn't mean Tesla's selling its chips to Oracle directly. But it does open the door for deeper integration of Tesla's hardware stack into one of the fastest-scaling AI infrastructure deployments globallywithout Tesla having to build the data centers themselves.
While Tesla hasn't commented on the arrangement, the ripple effects could be real. This setup could expand the reach of Tesla's custom compute hardware, helping validate the Dojo architecture beyond just internal FSD training. If Oracle and G42 deliver on their cloud scale-up, Tesla may quietly benefit from growing demand for its AI stackespecially as new use cases for vision, autonomy, and robotics take shape. Investors tracking Tesla's long-term AI optionality should keep an eye on how this plays out.
This article first appeared on GuruFocus.
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