Oracle, the software giant, is making a significant foray into the generative AI market. The company recently announced a deal to provide large language models (LLMs) to their customers and unveiled a generative AI cloud service, enhancements to their healthcare software, and new database capabilities for AI systems. This move has resulted in a doubling of signed business from AI developers, with contracts totaling $4 billion.
Generative AI systems are transformative tools that learn from patterns and help users arrive at new insights. They have sparked a surge in development and funding, as well as a high demand for computing power. Oracle is addressing this demand by expanding its use of NVIDIA’s powerful H100 AI processors in its cloud infrastructure, offering customers the advantages of faster networking speed and cost savings.
Oracle is also catering to companies’ desire to fine-tune standard models using their own data. By allowing customers to add their own training data to Oracle’s vector database, businesses can improve the predictive capabilities of AI models in specific fields. Not only is Oracle faster and more cost-effective than other cloud providers for training AI models, but businesses that leverage generative AI tools could also realize significant benefits. According to Goldman Sachs, generative AI has the potential to increase global GDP by 7% or nearly $7 trillion over the next decade.
To assist businesses in harnessing the power of generative AI, Oracle is delivering AI-powered tools across various sectors. These include AI Vector Search, which allows large language models to quickly find related terms, OCI Generative AI, which integrates pretrained models with customer applications, Oracle Clinical Digital Assistant for healthcare professionals, and Oracle Advertising and Customer Experience for marketers and service agents. Additionally, Oracle Analytics Cloud enables analysts to interact with data using plain language and utilizes AI to automatically extract key information from text and image files.
Larry Ellison, Oracle’s Chairman and Chief Technology Officer, stated that generative AI is a groundbreaking technology that will have a profound impact. He believes that it is the most important computer technology ever and that we are about to witness its transformative capabilities firsthand.
In conclusion, Oracle’s expansion into the generative AI market is a strategic move that positions the company as a leading provider of AI-powered solutions. With its cloud infrastructure, advanced processors, and comprehensive suite of AI tools, Oracle is well-positioned to meet the growing demand for generative AI capabilities and help businesses unlock its vast potential.