Oracle Jumps on Report of $10 Billion Cloud Deal With Musk’s xAI

Oracle Corp. gained as much as 5.3% after the Information reported the company is close to a deal for a $10 billion cloud contract with Elon Musk’s artificial intelligence startup xAI.

Oracle Chairman Larry Ellison said last September that the company had a deal to provide cloud infrastructure to xAI to train artificial intelligence models. Ellison didn’t release the value or the duration of the contract at that time.

“Boy, did they want a lot more” computing power, Ellison said of Oracle’s work with xAI during a December event. “They wanted more and we are in the process of ...