StocksMediumUpdated•Originally published 4 November 2026•Updated 4 November 2026•
1 min read
Oracle Cancels Tencent Chip Deal Under Direct Pressure from Donald Trump
Key Facts
1Oracle canceled a $7 billion AI chip lease agreement with China's Tencent due to concerns from the US government.
Oracle canceled a $7 billion AI chip lease agreement with China's Tencent as a result of direct pressure from President Donald Trump. The Financial Times reported that US officials approached Oracle to express security and regulatory worries regarding the deal, leading to the termination of the massive infrastructure agreement.
The cancellation follows increasing scrutiny and restrictions by US authorities on the export and leasing of high-end AI technology to Chinese entities. In the markets, Oracle shares closed at $126.21 on November 3, 2026, while Tencent Holdings Limited closed at $50.42 on the same date.