Oracle Plans $15B Corporate Bond Sale Amid Major AI Partnerships
Oracle Eyes Massive $15 Billion Bond Sale Following Landmark AI Deals
Oracle, one of the leading players in cloud infrastructure, is reportedly preparing to raise $15 billion through a major corporate bond sale. This move comes shortly after Oracle secured a historic agreement to provide AI infrastructure to OpenAI, signaling an aggressive push into the burgeoning AI and cloud computing market.
Strategic Funding After Major AI Commitments
According to Bloomberg, Oracle's proposed bond sale could be split into as many as seven parts, with at least one portion possibly structured as a rare 40-year bond. This ambitious fundraising effort follows Oracle's recently inked deal with OpenAI, reportedly worth $300 billion in compute capacity—a partnership that has attracted significant attention across the tech and finance sectors.
- OpenAI Deal: Oracle's AI cloud infrastructure is set to power OpenAI's next wave of research and development.
- Meta Talks: Oracle is also reportedly negotiating a $20 billion AI cloud computing deal with Meta (Facebook's parent company), further expanding its reach into AI partnerships.
Industry observers have raised questions about how both Oracle and its partners plan to finance such massive deals. The timing of this bond sale suggests Oracle is moving quickly to secure capital to support its growing AI ambitions and to reassure investors and clients of its financial strength.
Leadership Changes at Oracle
In parallel with these financial moves, Oracle announced a significant leadership transition. Longtime CEO Safra Catz has stepped down from her role, becoming executive vice chair of the board after 11 years at the helm. She is succeeded by new co-CEOs Clay Magouyrk and Mike Sicilia, signaling a new chapter in Oracle's executive leadership as the company pursues its AI-driven strategy.
Implications for the Cloud and AI Market
Oracle's aggressive capital-raising strategy and high-profile deals with AI leaders like OpenAI and Meta underscore the intensifying competition among cloud providers to power the next generation of AI applications. As the market for advanced compute grows, Oracle's moves could have ripple effects across the tech industry, influencing how enterprises approach cloud and AI investments.
References
- Oracle and OpenAI reportedly ink historic cloud computing deal
- Oracle looks to raise $15 billion from corporate bond sale
- Why the Oracle-OpenAI deal caught Wall Street by surprise
- Oracle in talks with Meta on $20 billion AI cloud computing deal
- Oracle promotes two presidents to co-CEO role
- Oracle is reportedly looking to raise $15B in corporate bond sale