🔴 Oracle is trading 4.4% down in pre-market after reported $7 billion Tencent AI-chip lease cancellation

Oracle is trading 4.4% down now at $120.64 after reports that it canceled a five-year, approximately $7 billion AI-chip leasing agreement with Tencent.

• The deal would have provided access to as many as 100,000 advanced chips.
• Reuters reported that U.S. officials raised concerns, but could not independently verify the report.
• Software shares are higher pre-market, but that sector strength does not explain Oracle’s decline.