Oracle’s High-Stakes AI Bet Faces Mounting Scrutiny

The cloud computing giant Oracle is navigating a critical leadership transition while facing growing analyst concerns about its massive artificial intelligence infrastructure investments. As the company funds its ambitions through record bond sales, questions are emerging about the sustainability of its current growth trajectory.

Just two days after announcing significant leadership changes, Oracle successfully placed an $18 billion corporate bond—the second-largest such offering of 2025. The transaction attracted nearly $88 billion in investor demand, highlighting market interest despite the substantial capital requirements. These funds are earmarked to finance Oracle’s aggressive push into AI infrastructure development.

The financial metrics reveal the scale of this commitment: Oracle’s cash flow turned negative this year for the first time since 1992. Market researchers... Read more...