Building the future is expensive. Building it at Oracle’s scale is turning out to be something else entirely.
Oracle is running into a wall of financial friction as it tries to fund a sprawling network of AI data centers tied to its $300 billion computing agreement with OpenAI. The Stargate megasite in Abilene, Texas, plus additional facilities planned for Wisconsin, sit at the center of the trouble. Banks including JPMorgan Chase are reportedly struggling to syndicate the billions in loans needed to keep construction moving, with exposure limits at individual institutions creating a bottleneck that tighter credit conditions are making worse.
The numbers are staggering, and getting bigger
Oracle’s capital expenditures tell the story clearly. The company spent $21.2 billion in fiscal year 2025 on infrastructure. That figure jumped to $55.7 billion in fiscal 2026. The plan for fiscal 2027 calls for somewhere between $90 billion and $95 billion.
To bridge near-term financing gaps, Oracle raised $18 billion through bond issuance in September 2025. That is a meaningful capital raise by any measure, but against a $90-plus billion capex target, it covers less than a quarter of the projected spend.
