Oracle in Talks for $100M Cloud Deal With Skydance-Paramount Merger

Oracle (ORCL, Financials) is negotiating a cloud computing and software deal with Skydance Media worth up to $100 million per year, according to a July 22 report by Data Centre Dynamics. The talks follow Skydance's proposed $8 billion acquisition of Paramount Global, which still awaits federal approval.

Skydance Media, run by David Ellisonthe son of Oracle founder Larry Ellisonalready spends around $2.2 million annually on Oracle's cloud services. But with the Paramount deal in motion and backed by Larry Ellison, the merged company is expected to expand its cloud needs significantly.

According to Bloomberg, which cited sources familiar with the discussions, the deal could save Paramount hundreds of millions in IT costs as it transitions services and stores CBS and MTV content on Oracle Cloud infrastructure. Neither Oracle, Skydance, nor Paramount commented on the report.

While sizable, the potential $100 million contract trails Oracle's recently announced $30 billion agreement with OpenAI and another undisclosed gigantic deal with Chinese ecommerce platform Temu. Oracle also provides cloud infrastructure for TikTok, making media a growing vertical for the tech company.