Morgan Stanley just dropped some wild projections about Oracle's balance sheet. The database giant's adjusted net debt? Set to balloon nearly 3x between 2025 and 2028, potentially hitting close to $300B.
What's driving this massive leveraging? Oracle's going all-in on infrastructure expansion tied to its OpenAI partnership. We're talking tens of billions in fresh borrowing to build out the compute backbone.
This aggressive capex strategy puts Oracle in interesting company alongside MSFT and NVDA in the AI infrastructure arms race. The question everyone should be asking: will the AI revenue justify this debt load, or are we watching another cloud infrastructure bubble inflate?
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ForkMonger
· 15h ago
ngl, this debt trajectory screams governance failure waiting to happen. oracle's betting the entire farm on openai's staying power—what happens when that partnership hits a fork in the road? nobody's asking the right questions about protocol leverage here.
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SybilAttackVictim
· 15h ago
The debt directly triples, isn't this bet too aggressive...
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TokenSleuth
· 15h ago
300 billion in debt? Oracle is betting its life on AI.
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GasFeePhobia
· 15h ago
300 billion in debt? Come on, it's just another round of AI hype by dumb buyers.
Morgan Stanley just dropped some wild projections about Oracle's balance sheet. The database giant's adjusted net debt? Set to balloon nearly 3x between 2025 and 2028, potentially hitting close to $300B.
What's driving this massive leveraging? Oracle's going all-in on infrastructure expansion tied to its OpenAI partnership. We're talking tens of billions in fresh borrowing to build out the compute backbone.
This aggressive capex strategy puts Oracle in interesting company alongside MSFT and NVDA in the AI infrastructure arms race. The question everyone should be asking: will the AI revenue justify this debt load, or are we watching another cloud infrastructure bubble inflate?