Oracle's relationship with OpenAI has become a never-ending source of market angst, as the tie-in reminds many of questionable vendor-financing practices from the late 1990s. But is the caution overblown?

Blue Owl Capital's decision to step away from financing an Oracle-backed (NYSE: ORCL) AI data center has become a fresh flashpoint for investors already on edge about the financial architecture behind the AI infrastructure boom.

Oracle Corp. said final negotiations on an equity deal for a data center project in Michigan are “on schedule” and doesn’t include Blue Owl Capital, a firm that has helped finance massive data center projects for firms including Oracle and Meta Platforms Inc.

Oracle exited the recent quarter with non-current notes payable and other borrowings (which are basically long-term debt) of $100 billion, compared to cash and cash equivalents of $19.2 billion.

Oracle Corporation (NYSE:ORCL) is one of the Top AI and Technology Stocks to Buy According to Hedge Funds. On December 10, the company announced its Q2 2026 financial results, with total remaining performance obligations rising 438% YoY in USD to $523 billion.

With relatively tepid growth, rising debt, an increasing cash burn rate, soaring capex and reliance on money-losing OpenAI, $ORCL has not earned its premium valuation.

Oracle has reportedly failed to secure financing from Blue Owl Capital to fund the construction of a new data center, extending a multi-day sell-off following last week's earnings. Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue »