Oracle Pledges $5 Billion to Boost UK’s Cloud and AI Infrastructure

US tech giant Oracle has announced plans to invest $5 billion in building cloud infrastructure in the UK, Yahoo Finance reported. Owned by Larry Ellison, a Trump ally, vowed to invest in Britain over the next five years to support the country’s vision for AI-powered growth.

Larry Ellison said that the latest investment will enable more UK businesses to adopt AI.

Ellison founded Oracle in 1977. He is the fifth richest person in the world with a $169 billion fortune. Ellison is also an ally of Elon Musk having served in the Tesla board and invested in his Twitter acquisition.

Accelerating AI Ambitions

The latest UK tech funding will enhance access to high quality AI and sovereign cloud solutions for UK public services and businesses. The UK government expressed gratitude for the investment made by Oracle, saying that it will be instrumental in accelerating its AI leadership ambitions.

“The UK is determined to lead the world in AI innovation, and today’s announcement from Oracle is a testament to our nation’s growing strength in this sector. This $5 billion investment will accelerate our AI ambitions, providing businesses and public services with cutting-edge cloud infrastructure to drive productivity, enhance security, and unlock new opportunities for growth – driving forward our Plan for Change,” UK Secretary of State for Science, Innovation and Technology, Peter Kyle said.

Oracle’s expansion to the UK will enable more companies in the healthcare, defense, manufacturing, finance, retail, and other sectors to modernise their applications, use AI to innovate, and shift their workloads to the cloud.

“The UK Government’s vision is clear- use AI to help power the UK’s future. Today’s announcement cements Oracle’s commitment to supporting this vision. Oracle provides the world’s best cloud infrastructure for AI learning and inferencing,” Oracle’s SVP and UK Country Leader Siobhan Wilson said.

UK Expansion Plan

Just recently, Oracle launched more than 50 AI agents in its Fusion Cloud Application Suite. The AI agents are designed to support businesses with automation of tasks across critical functions like supply chain, finance, human resources, and sales and marketing. Through the latest UK digital infrastructure investment, the US tech giant plans to expand AI adoption throughout the country.

This expansion is expected to strengthen Oracle’s multi-cloud abilities, allowing UK organizations to integrate seamlessly with Microsoft Azure, AWS, and Google Cloud. This flawless integration will reduce latency and ensure high-performance, AI-driven computing.

Oracle is a global leader in cloud computing. The latest investment by the Trump ally in the UK will enable it “to meet the rapidly growing demand for its cloud services in the UK.” The company said the investment will involve setting up cloud infrastructure in the country. However, Oracle did not clarify whether this would involve expansion of existing data centers or establishment of new ones. Currently, the cloud computing giant has set up data centers in Newport and London.

AI systems use huge volumes of computing power that is often concentrated in data centers. UK’s ruling political party Labor has prioritized establishment of data centers in the UK to maintain its competitiveness in the global AI race.

Oracle – UK Ties

The UK government is among Oracle’s key customers. The Ministry of Justice and Home Office, Departments for Work and Pensions, and Food and Rural Affairs are among the government agencies that utilize Oracle services.

Ellison is also a key supporter of Sir Tony Blair. The tech mogul has previously offered $375 million to the Institute for Global Change that the former prime minister founders. Ellison has given $1 billion funding to the Institute of Technology in Oxford. The institution helps UK startups to commercialize their research better.

In the US, Oracle is part of the $100 billion Stargate AI infrastructure project that President Trump unveiled earlier this year. Oracle is among the US tech giants that have been accelerating discussions with the White House about taking over TikTok’s US business.