HPE, an enterprise technology firm, is expanding its collaboration with Oracle, supplying its routing and switching platforms to Oracle’s AI data centers worldwide through HPE Juniper Networking to support the growing networking demands of these facilities.
Oracle Cloud Infrastructure’s data center and edge networks are already supported by HPE Juniper Networking, providing a solid foundation as Oracle expands its AI superclusters according to a press release. This expansion places significant demand on bandwidth, latency, congestion management, and fault recovery.
“Oracle is building AI infrastructure at extraordinary scale, and HPE is uniquely positioned to support OCI with one of the industry’s most comprehensive networking portfolios for AI data centers,” said Rami Rahim, HPE Executive Vice President, President, and General Manager of Networking. “Together, we are advancing a high-performance networking architecture that helps Oracle address the traffic management, power, space, and operational requirements of increasingly large AI environments.”
“Building AI infrastructure at Oracle’s scale requires an integrated ecosystem where every layer of the stack works together,” said Mahesh Thiagarajan, Oracle Cloud Infrastructure Executive Vice President. “HPE Juniper Networking has been an important part of our cloud architecture and now plays a key role in our AI clusters, regional data centers, and edge networks with the scale, performance, and reliability our customers expect.”
In order to assist Oracle sustain high performance and resilience, the two firms are collaborating on intelligent telemetry that delivers insight and visibility into device and fabric behaviour. By being able to detect queue buildup, packet loss, traffic imbalances and component degradation sooner, Oracle can resolve issues faster.
This is especially important considering the number of data centers Oracle is building out across just the US. Its Stargate campus, being built with OpenAI in Abilene, Texas, has already delivered 42 percent of its planned 1.2 GW capacity. Two other sites in Shackelford, Texas, and Doña Ana County, New Mexico, are expected to be delivered in the first half of 2027, and two more situated in Wisconsin and Michigan will be delivered in the second half of 2027.
Cloud computing providers such as Oracle are increasingly investing in infrastructure that powers AI workloads. In 2025, Oracle reserved US$ 40 billion worth of NVIDIA GPUs for its Abilene site to support OpenAI. This hardware shifts the internal structure of data centers as liquid cooling, robust power delivery, and reliable, low-latency networking become requirements rather than optional extras. According to Mordor Intelligence, AI-first digital transformation is pushing the cloud computing market from a value of US$ 1.04 trillion in 2026 to US$ 2.65 trillion by 2031.