Oracle raises $15B as it ramps up AI and data center spending
Oracle is borrowing $15 billion from the U.S. investment-grade bond market this week, according to Bloomberg. The company is slicing up the deal into seven tranches, including a 40-year bond, which almost no one does anymore. That long-term slice is being priced at about 1.65 percentage points above similar U.S. Treasuries.
The deal is being handled by Bank of America, Citi, Deutsche Bank, Goldman Sachs, HSBC, and JPMorgan. The last time Oracle did anything like this was in January, so this is its first return to the bond scene in months.
This is happening while Oracle is knee-deep in reshuffling leadership, securing giant AI deals, and tying itself closer to Trump’s White House.
The bond sale puts more cash on hand just as the company is building out data centers and trying to keep its cloud deals solid. Everything’s moving fast (people, money, infrastructure), and Oracle clearly wants to stay ahead of it all.
Oracle replaces leadership with dual-CEO setup
Oracle just scrapped its long-term CEO transition plan and shoved two execs straight into the top seats. Clay Magouyrk and Mike Sicilia were both made co-CEOs on Monday, even though the original plan was to promote them in a year or two.
In June, they were both elevated to president, but the company decided to push things forward. The new setup comes right after Oracle locked in a deal with OpenAI, saw its biggest stock jump since 1992, and closed in on keeping TikTok as a long-term cloud client.
Clay, 39, is taking the lead with a $250 million stock package, while Mike, 54, gets $100 million, according to Oracle’s latest regulatory filing. The titles are the same, but the numbers aren’t. Clay is clearly positioned as the primary decision-maker here.
Now they’ve got work to do. Clay and Mike are in charge of executing Oracle’s mega-deals, especially the one with OpenAI. They’re also expected to integrate AI across all of Oracle’s software products and keep the company’s core database business alive, since that’s still where most of the profits come from. With massive spending and executive power moves all happening at once, they’re not getting a warm-up period.
Oracle partners with OpenAI and SoftBank on massive data center push
OpenAI is pouring $400 billion into new U.S. data center builds alongside Oracle and SoftBank. As Cryptopolitan previously reported, the plan includes five sites across Texas, New Mexico, and Ohio. These sites will carry 7 gigawatts of power, which is about the same as a medium-sized U.S. city. The builds are part of something called Stargate, which Oracle and OpenAI have been quietly developing for months.
The expansion is part of a $500 billion pledge the companies made after Donald Trump returned to the White House. The entire setup is meant to support OpenAI’s growing needs, including for ChatGPT, which now hits 700 million users every week. The three firms announced the infrastructure rollout at a press event in Abilene, Texas, where the first Stargate center is already underway.
At that press conference, Sam Altman, OpenAI’s CEO, said, “We will push on infrastructure as hard as we can because that is what will drive our ability to deliver amazing technology and basic products and services.”
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