Oracle Says Michigan Data Center Deal Moving Ahead Without Blue Owl

Oracle Corporation (NYSE:ORCL) is included among the 13 Top Tech Stocks Paying Consistent Dividends.

On December 17, Oracle Corporation (NYSE:ORCL) said talks around an equity deal for a major data center project in Michigan are “on schedule” and will move forward without Blue Owl Capital. Blue Owl has played a role in financing large data center projects for companies such as Oracle and Meta Platforms in recent months, but it will not be involved in this one.

The company explained that its development partner, Related Digital, selected “the best equity partner from a competitive group of options, which in this instance was not Blue Owl.” Oracle Corporation (NYSE:ORCL) was responding to a report from the Financial Times that cited people familiar with the matter who said Blue Owl would not back the roughly $10 billion project. The Financial Times also reported that discussions with Blue Owl had stalled during negotiations.

Oracle Corporation (NYSE:ORCL)’s heavy spending on large-scale data centers to support artificial intelligence workloads has put the company at the center of a growing debate around whether the AI boom is starting to look like a bubble. In recent months, investors have become more cautious, worried that the massive amounts of capital pouring into AI infrastructure could eventually lead to excess capacity.

That concern showed up in the stock. Oracle shares fell as much as 3.7% in New York trading on December 17. The stock is down nearly 40% over the past three months, giving back a portion of the sharp gains it posted earlier after securing multibillion-dollar computing deals with high-profile customers, including OpenAI.

Oracle Corporation (NYSE:ORCL) develops and sells enterprise software, cloud computing services, and database technology.

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