Oracle plans up to $95 billion in FY2027 AI spending, shares fall
What's new: Oracle expects to raise nearly $40 billion in debt and equity in 2027 as margins weaken during the data-center buildout.
Oracle forecast capital spending of up to $95 billion in fiscal 2027, above Wall Street estimates, as it races to expand AI data-center capacity and finance the push with fresh debt and equity. The company said it expects to raise nearly $40 billion in 2027, including a previously disclosed $20 billion at-the-market stock sale, and its shares dropped 8.9% in extended trading. CFO Hilary Maxson said Oracle expects about $70 billion of its own spending next fiscal year, plus another $20 billion to $25 billion that customers are expected to repay. The company is building large facilities for Meta Platforms and OpenAI, including the Stargate site in Texas, which Oracle said will be more than three-quarters complete within 90 days.