xAI's Grok Models are Now on Oracle Cloud Infrastructure

Rhea-AI Summary

Oracle Cloud Infrastructure (OCI) has partnered with xAI to offer Grok models through its Generative AI service. xAI will leverage OCI's AI infrastructure for training and running its next-generation Grok models, including Grok 3. The collaboration focuses on enterprise applications like content creation, research, and business process automation. The partnership emphasizes security features, including zero data retention endpoints, and leverages OCI's enterprise-grade capabilities for data governance. Windstream, a telecommunications provider, is exploring the use of xAI's multimodal models via OCI to enhance workstreams. The integration aims to provide organizations with advanced AI solutions while maintaining strong data security and management capabilities.

Positive

• Partnership with xAI brings cutting-edge Grok models to Oracle's enterprise customers
• OCI's infrastructure offers significant price-performance and scalability advantages for AI workloads
• Zero data retention endpoints provide enhanced security for enterprise data
• Potential expansion of Oracle's AI capabilities and market share in the growing AI infrastructure space

Negative

• None.

Insights

Enterprise Technology Analyst

Oracle's partnership with xAI brings advanced Grok models to OCI, strengthening Oracle's competitive position in the enterprise AI market.

Oracle's new partnership with xAI represents a significant strategic advancement in the highly competitive cloud AI market. By integrating xAI's sophisticated Grok models into the OCI Generative AI service, Oracle is positioning itself as a serious contender against dominant players like AWS, Microsoft Azure, and Google Cloud in the enterprise AI space.

The partnership offers two distinct advantages for Oracle. First, it provides immediate access to cutting-edge large language model technology without the massive investment required to develop proprietary models. Second, it creates a compelling value proposition for enterprises seeking AI capabilities with strong data governance and security—critical considerations for Oracle's core enterprise customer base.

Particularly noteworthy is the zero data retention processing mentioned for Grok models on OCI, addressing a major enterprise concern about data security in AI implementations. This feature, combined with Oracle's established enterprise-grade security capabilities, creates differentiation in a market where data protection is increasingly scrutinized.

The announcement of Windstream—a telecommunications provider—exploring the use of these models demonstrates early enterprise interest and validates potential applications in regulated industries. The specific mention of OCI's bare metal GPU instances highlights Oracle's infrastructure readiness to support compute-intensive AI workloads, potentially creating new revenue streams from customers seeking both AI models and the infrastructure to run them.

This partnership reflects Oracle's pragmatic approach to AI—leveraging partnerships rather than building everything in-house—while still maintaining their enterprise-focused value proposition centered on performance, security, and cost efficiency.

Customers can now harness Grok models via OCI Generative AI service to tackle complex problems

Powered by OCI AI infrastructure, Grok models will leverage OCI Compute instances with significant price-performance and scalability advantages

AUSTIN, Texas, June 17, 2025 /PRNewswire/ -- xAI has selected Oracle to offer xAI's Grok models via Oracle Cloud Infrastructure (OCI) Generative AI service for a wide range of use cases, including content creation, research, and business process automation. xAI will also leverage the scalability, performance, and cost efficiency of OCI's leading AI infrastructure to train and run inferencing for its next-generation Grok models.

"Grok 3 represents a leap forward in AI capabilities and Oracle's advanced data platform will accelerate its impact on enterprises," said Jimmy Ba, co-founder, xAI. "This collaboration between xAI and Oracle is set to redefine enterprise-grade AI."

Founded in March 2023, xAI is at the forefront of AI innovation, building technologies that push the boundaries of human understanding. Grok 3, xAI's latest model, has reasoning capabilities refined through large-scale reinforcement learning with high performance in mathematics, coding, and universal understanding. To provide organizations with a path to strong data governance, management, and security, xAI models are augmented with OCI's enterprise-grade capabilities. In addition, all data sent by Oracle to Grok models is processed on zero data retention endpoints, offering an extra layer of protection. 

"By bringing xAI's cutting-edge Grok models to our customers, we are expanding the possibilities of AI in the enterprise," said Greg Pavlik, executive vice president, AI and Data Management Services, Oracle Cloud Infrastructure. "This partnership underscores our commitment to providing the most advanced AI solutions, giving organizations greater choice and flexibility in deploying the latest AI technologies."

Oracle brings leading-edge AI technology close to enterprise data and prioritizes security, adaptability, and scalability. This helps customers across industries apply the right AI technologies, including generative and agentic AI, to the right business scenarios for immediate results. In addition, thousands of AI innovators are leveraging OCI's cost-effective, purpose-built AI capabilities to run the most demanding AI workloads faster. OCI bare metal GPU instances can power applications for generative AI, natural language processing, computer vision, and recommendation systems.

Windstream, a leading telecommunications service provider of advanced network communications and technology solutions, is exploring options to use xAI's multimodal models via OCI to create more fluid workstreams and empower its employees.

"In the fast-paced and ever-evolving landscape of telecommunications, there's no shortage of ways AI can benefit our business," said Kaushik Bhanderi, senior vice president, Windstream. "We think there could be real advantages to leveraging Grok models via OCI Generative AI service, integrating language comprehension and reasoning to propose meaningful actions."

Additional Resources

• Join Greg Pavlik for a discussion with top AI innovators about what's next for agentic AI
• Learn more about xAI
• Learn more about Oracle AI
• Learn more about OCI AI Infrastructure
• Learn more about OCI Generative AI

About xAI
xAI is a foundation model lab building AI to help humanity understand the universe. Visit us at x.ai.

About Oracle
Oracle offers integrated suites of applications plus secure, autonomous infrastructure in the Oracle Cloud. For more information about Oracle (NYSE: ORCL), please visit us at www.oracle.com.

Trademarks
Oracle, Java, MySQL and NetSuite are registered trademarks of Oracle Corporation. NetSuite was the first cloud company—ushering in the new era of cloud computing.

Future Product Disclaimer
The preceding is intended to outline our general product direction. It is intended for information purposes only, and may not be incorporated into any contract. It is not a commitment to deliver any material, code, or functionality, and should not be relied upon in making purchasing decisions. The development, release, timing, and pricing of any features or functionality described for Oracle's products may change and remains at the sole discretion of Oracle Corporation.

Forward-Looking Statements Disclaimer
Statements in this article relating to Oracle's future plans, expectations, beliefs, and intentions are "forward-looking statements" and are subject to material risks and uncertainties. Many factors could affect Oracle's current expectations and actual results, and could cause actual results to differ materially. A discussion of such factors and other risks that affect Oracle's business is contained in Oracle's Securities and Exchange Commission (SEC) filings, including Oracle's most recent reports on Form 10-K and Form 10-Q under the heading "Risk Factors." These filings are available on the SEC's website or on Oracle's website at oracle.com/investor. All information in this article is current as of June 17, 2025, and Oracle undertakes no duty to update any statement in light of new information or future events.

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SOURCE Oracle

FAQ

What is the partnership between Oracle (ORCL) and xAI for Grok models?

Oracle and xAI have partnered to offer Grok models through Oracle Cloud Infrastructure's Generative AI service, with xAI using OCI's infrastructure for training and running its next-generation models.

How will Oracle (ORCL) ensure data security for Grok AI models?

Oracle implements zero data retention endpoints and enterprise-grade capabilities for data governance, management, and security.

What are the main benefits of running Grok models on Oracle Cloud Infrastructure?

OCI offers significant price-performance advantages, scalability, and enterprise-grade security features, enabling organizations to deploy AI solutions with strong data governance.

Which companies are already exploring Oracle's (ORCL) Grok AI implementation?

Windstream, a telecommunications service provider, is exploring the use of xAI's multimodal models via OCI to create more fluid workstreams and empower employees.

What capabilities does Grok 3 offer on Oracle Cloud Infrastructure?

Grok 3 offers advanced reasoning capabilities refined through large-scale reinforcement learning, with high performance in mathematics, coding, and universal understanding.