Big Red says AI units will add to subscriptions, as it juggles $90BN-plus capex, mounting debt and a $225BN revenue goal for 2030

Oracle is funding a datacenter spending spree with negative cashflow and borrowing. OCI is set to host large language model builders, notably OpenAI, alongside its own customers’ workloads. Oracle spent $55.7 billion on datacenters and cloud infrastructure in fiscal year 2026, which ended in May, and plans to spend between $90 billion and $95 billion in fiscal 2027.

That will require more debt. In 2027, Oracle hopes to raise around $40 billion in debt and equity, on top of the $18 billion in debt it raised in September 2025.

We are ALMOST to the pot of gold I swear! I just need 5 more pots of gold to get us there!!

Is “That will require more debt” the “You must construct additional pylons” of the AI/datacenter industry or does it rather accurately describe the entire AI/datacenter industry in a meme?

  • Architeuthis@awful.systemsEnglish
    5·
    4 days ago

    “On-premises customers can now move far more easily to the cloud by leveraging the AI tool sets to automate migrations and decrease the cost and time to implement. They don’t have to be Oracle customers; they can be competitive customers.”

    Sicilia said enterprise application software users’ reluctance to change had been a major “headwind” for Oracle, one he hopes AI will ease.

    “Our large remaining base of on-premises customers are going to start to adopt this technology quite quickly. When we move customers from on-premises to cloud, we see a multiple increase in revenue,” he said.

    Apparently the latest in executive suite psychosis is that the main reason customers like on-premise solutions is because it was just too darn complicated to hand over all your data to oracle move to the cloud.