Oracle To Raise $45-50 Billion For Cloud Expansion In 2026

Funding Strategy  
Oracle stated that half of the funds will be raised via equity-linked instruments and common equity issuances, including mandatory convertible preferred securities and a $20 billion at-the-market equity program. The remaining half will come from senior unsecured bonds to be issued early in 2026.  

Purpose Of Expansion  
The company emphasized that the capital will be used to build additional capacity for Oracle Cloud Infrastructure (OCI). With growing demand from AI-driven enterprises and global tech giants, Oracle aims to strengthen its position in the competitive cloud services market.  

Market Context  
The announcement comes amid investor concerns over the sustainability of massive AI-related investments. Oracle’s shares have faced volatility, but the company remains committed to scaling its infrastructure to meet contracted demand from its largest clients.  

Key Highlights  

• Oracle to raise $45–50 billion in 2026  
• Funds split between equity and debt financing  
• Expansion focused on Oracle Cloud Infrastructure capacity  
• Major clients include AMD, Meta, NVIDIA, OpenAI, TikTok, and xAI  
• Investor concerns persist over large-scale AI investments  

Conclusion  
Oracle’s ambitious fundraising plan underscores its determination to compete in the cloud and AI infrastructure space. By securing significant capital, the company aims to meet surging demand while positioning itself as a key player in the next wave of technological growth.  

Sources: Bloomberg, Reuters, Investing.com