OpenAI agreed to pay Oracle $30B a year for data center services

Sam Altman confirmed Tuesday that OpenAI is the company behind Oracle’s $30 billion-per-year cloud deal revealed last month. He made the announcement on X and in a company blog post but declined to confirm the reported figure.

Oracle first disclosed the contract in an SEC filing on June 30, without identifying the customer. The news sent Oracle’s stock price soaring and boosted founder Larry Ellison’s personal fortune.

OpenAI said the arrangement provides 4.5 gigawatts of capacity for Stargate, a $500 billion data center program with Oracle and SoftBank. This specific deal does not include SoftBank.

Altman said OpenAI’s recurring revenue has reached $10 billion, underscoring the contract’s scale relative to the company’s current size.