Larry Ellison has pushed Oracle into uncharted territory with a jaw-dropping borrowing spree. Over $100 billion in debt raised within just two months fueled an ambitious plan to build out AI data centers on an unprecedented scale. This isn’t your typical corporate expansion it’s a full-throttle pivot from traditional enterprise software to the cutting edge of AI infrastructure.
The heart of this transformation is Project Stargate, a colossal initiative aiming to invest up to $500 billion over four years. Oracle plans to construct data centers that span more than 500,000 square feet each, with an enormous power capacity target of 10 gigawatts enough to power a small city.
Ellison’s strategic gamble and the road ahead
Everything shifted after ChatGPT’s launch in late 2022. Recognizing how generative AI would revolutionize enterprise tech, Ellison took back the reins at 80 years old, steering Oracle into the AI arena with unmatched intensity. Oracle’s share price jumped over 30% in September 2025, briefly making Ellison the richest person on the planet, with estimates of his net worth nearing $400 billion.
The company reported $17.2 billion in revenue for the quarter ending February 2026, with cloud services growing 44% year over year. However, the massive debt load raises eyebrows. Bondholders have already filed lawsuits tied to AI financing deals connected to OpenAI, signaling rising internal tension over the aggressive borrowing.
Adding another layer, Ellison’s close ties with political power players like the Trump administration have helped fast-track regulatory approvals for data center construction. This edge is key as Oracle races giants like Microsoft and Google, all vying to dominate AI infrastructure. The stakes couldn’t be higher; Oracle’s bold move reshapes the tech landscape but carries immense financial risk.
This material is informational and does not constitute financial advice.
