Thursday, September 3, 2026

HPE and Oracle Expand Networking Strategic Collaboration to Scale Next-Generation Gigawatt AI Infrastructure

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Hewlett Packard Enterprise has made an announcement about an extended strategic partnership with Oracle to enable faster growth of Oracle Cloud Infrastructure (OCI). In accordance with this partnership, OCI will leverage HPE Juniper Networking technologies within its global data center network for scaling of AI workloads.

Expanding on over a decade of joint engineering development of Oracle and Juniper Networks, the new deal involves deployment of hardware, multi-year support services, and financing.

To be able to satisfy the computing requirements of modern gigawatt-class AI supercomputer clusters, enterprise clouds should ensure high performance, quick recovery from failures, real-time congestion control and ultralow latency. The implementation of the HPE Juniper Networking technologies is expected to solve all these issues on the part of the OCI’s core fabric, regional data centers, and points of presence at the edge.

“Oracle is building AI infrastructure at an unprecedented scale, and HPE is uniquely positioned to help OCI with one of the most comprehensive AI data center networking portfolio in the industry,” said Rami Rahim, Executive Vice President, President & General Manager, Networking, HPE. “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.”

Architectural Integration and Telemetry Innovations

The deployment plan encompasses a multi-year rollout of HPE Juniper Networking PTX and MX routing platforms alongside QFX and EX switching hardware. Within OCI’s current architecture:

  • MX and PTX Routers manage traffic across edge network segments.
  • QFX Switches form the spine and leaf structures within regional data center fabrics.
  • Next-Generation QFX Switches will support high-density environments using RDMA over Converged Ethernet (RoCEv2) to manage intense backend AI data traffic.

Standardizing on a unified HPE Juniper Networking framework allows OCI to streamline operations, simplify engineering overhead, and optimize performance parameters tailored to specific network layers.

Also Read: Unisys and Refroid Form Strategic Partnership to Drive Global High-Performance AI Infrastructure Deployments

“Building AI infrastructure at Oracle’s scale requires an integrated ecosystem where every layer of the stack works together,” said Mahesh Thiagarajan, executive vice president, Oracle Cloud Infrastructure. “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.”

Beyond hardware installation, HPE and Oracle are collaborating to build advanced intelligent telemetry systems into the network fabric. This real-time visibility enables operators to detect queue buildups, packet loss, bandwidth imbalances, and signal degradation early mitigating downtime risks and optimizing GPU utilization rates across massive AI model training runs.

“Every microsecond matters to AI models and agents,” said Praveen Jain, senior vice president and general manager, data center and AI networking, HPE. “Through high-performance networking and our work with Oracle on deeper fabric visibility, we are helping OCI detect bottlenecks faster, maintain network availability, and improve the efficiency of AI infrastructure.”

As part of the commercial arrangement tied to the multi-year initiative, HPE has issued Oracle warrants to purchase shares of HPE common stock.

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