A senior Oracle executive told employees that the Austin-headquartered enterprise tech giant will sell access to Toronto AI startup Cohere’s large language models and build them into its own HR and supply-chain software, sources told The Information. In response to questions from The Logic last week, Cohere declined to say whether Oracle’s participation in its US$270-million Series C round included any product partnerships. (The Information, The Logic)
Talking point: There’s a model in the generative AI space for this kind of co-production: Microsoft, which has backed San Francisco-based OpenAI with billions in capital and harnessed its technology for its cloud and business software. With its Cohere investment, Oracle gets its own source of machine-made text and services as it builds in-house capabilities. Still, Cohere hasn’t hitched itself to just one tech giant—other investors in the Series C included Nvidia and Salesforce. Server colossus Oracle, meanwhile, is touting more cost-effective compute capacity for gigantic generative AI workloads than the bigger cloud vendors.