Oracle has bought $100 million worth of Ampere chipsets, according to a proxy statement filed with the Securities and Exchange Commission on Friday.

The deal is a sign that Oracle is committed to using Ampere chips in its cloud computing platform. Ampere is a startup company that designs and manufactures custom server chips based on Arm technology. Arm chips are typically more energy-efficient than Intel and AMD chips, which makes them ideal for cloud computing applications.

Oracle’s investment in Ampere is likely motivated by a number of factors, including:

• The desire to reduce its cloud computing costs.
• The desire to offer its customers a more energy-efficient cloud computing platform.
• The desire to differentiate itself from its competitors, such as Amazon Web Services and Microsoft Azure.

Oracle has been a customer of Ampere for several years, and it has been using Ampere chips in its cloud computing platform since 2021. The purchase of $100 million worth of Ampere chipsets is a sign that Oracle is confident in Ampere’s technology and that it is committed to using Ampere chips in the long term.

The deal is also a win for Ampere. The company has been raising money from investors at a rapid pace, and it is now valued at over $2 billion. The deal with Oracle is a validation of Ampere’s technology and it is likely to help the company attract even more customers.

It is too early to say what the long-term impact of the deal will be. However, it is clear that Oracle is committed to using Ampere chips in its cloud computing platform. This is a significant development, and it could have a major impact on the cloud computing market in the years to come.

Analysts Weigh In

Analysts have weighed in on the deal, with some believing that it is a good move for Oracle and others expressing caution.

“This is a smart move for Oracle,” said analyst Patrick Moorhead of Moor Insights & Strategy. “Ampere chips are more energy-efficient than Intel and AMD chips, which will help Oracle reduce its cloud computing costs. Additionally, Ampere chips are based on Arm technology, which is becoming increasingly popular in the cloud computing market.”

However, other analysts were more cautious. “Oracle is taking a risk by investing in Ampere chips,” said analyst Dan Lyons of Ovum. “Ampere is a startup company, and there is no guarantee that its technology will be successful in the long term. Additionally, Oracle is competing with other cloud computing giants, such as Amazon Web Services and Microsoft Azure, which have more experience and resources.”

Only time will tell what the long-term impact of the deal will be. However, it is clear that Oracle is committed to using Ampere chips in its cloud computing platform. This is a significant development, and it could have a major impact on the cloud computing market in the years to come.