After more than 20,000 layoffs, Oracle’s ‘promise’ to Sam Altman is hurting banks across America, including JPMorgan – The Times of India

Oracle may be facing bank debt “Problem” due to the deal with the maker of ChatGPT, OpenAI. This comes as American banks struggle to absorb the scale of financing associated with Oracle’s data center expansion plans. According to a recent Wall Street Journal report, the problem stems from a $300 billion agreement between Oracle and the Sam Altman-led OpenAI that requires massive borrowing to finance data centers in Texas and Wisconsin. JPMorgan Chase and other U.S. banks reportedly found it difficult to distribute these loans due to risk limits tied to an individual borrower.Last month, Oracle leadership sent an email at 6 a.m. informing employees of its plans to cut tens of thousands of jobs. According to reports, around 10,000 employees have already been affected, based on internal monitoring of employee activities. TD Cowen estimates that the total number of layoffs could be between 20,000 and 30,000, which would represent a significant portion of Oracle’s layoffs…