Larry Ellison, the chairman of Oracle Corp., announced plans to establish Nashville as the world headquarters for the tech giant, shifting from its previous location in Austin. The decision comes as Oracle focuses on the health care industry for future growth. Ellison revealed that Oracle is developing a campus in Nashville designed by Norman Foster, known for creating Apple Inc.’s headquarters in California. The move is part of Oracle’s $1.35 billion office development in Nashville, which includes the acquisition of Cerner Electronic Medical Records Company for $28 billion in 2021. The company pledged to create 8,500 jobs in the region by 2031.
The decision to make Nashville the headquarters is seen as a significant boost to the area, which has been attracting corporations due to low cost of living, taxes, and state incentives. Nashville has long been promoted as a health care hub, home to 900 health care companies, including HCA Healthcare Inc., Community Health Systems Inc., and Brookdale Senior Living. Oracle’s move follows other companies like AllianceBernstein relocating to Nashville in recent years.
Oracle previously relocated its headquarters to Texas in 2020, citing the need for more flexibility for its employees. The company still maintains a significant employee base in California and has 4,200 employees in Austin as of September 2023. It is unclear what Oracle’s move to Nashville means for its presence in Austin, as the company has made recent investments to expand its campus there.
Despite the announcement of Nashville as the new headquarters, construction has not yet begun on the campus, which Oracle purchased for $277 million on the east bank of the Cumberland River. The city of Nashville awarded Oracle $175 million in incentives for the development. Ellison expressed some regret for disclosing his intentions to make Nashville the headquarters, stating that he “shouldn’t have said that” during a health care summit in Nashville.
Overall, Oracle’s decision to establish Nashville as its headquarters reflects the company’s focus on the health care industry and its ambition for future growth in the region. The move is expected to bring economic benefits to Nashville and further solidify the city’s reputation as a hub for health care and technology industries.
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https://www.insurancejournal.com/news/southeast/2024/04/30/772104.htm
