By Anusuya Lahiri
Publication Date: 2026-04-24 11:48:00
Debt limits pose challenges for data center financing
The report said Oracle’s $300 billion megadeal with OpenAI is pushing Wall Street to its limits and weakening investors’ appetite for the massive debt that is fueling America’s data center boom.
Analysts warn of a great need for financing
Morgan Stanley Credit analysts told the WSJ that Oracle still has more than $100 billion in additional funding needs through 2027 and early 2028, after planning to raise about $50 billion in 2026.
They warned that these requirements “could test the depths of various fixed income markets,” underscoring the scale of funding required for AI infrastructure.
Market risks and investor concerns are increasing
Lenders have become cautious due to Oracle’s weaker financial profile compared to peers, including higher debt and cash burn, as well as Oracle’s reliance on OpenAI, which creates additional uncertainty.
Although Oracle says projects are progressing on schedule and funding sources are diversified, the broader market is under pressure as AI…