OpenAI partners take on $96B debt to fuel AI ambitions
OpenAI's big AI dreams are getting a boost—its partners have taken on $96 billion in debt to fund massive data centers, chips, and computing power.
The main players behind this financial push include SoftBank, Oracle, CoreWeave, Blue Owl Capital, Crusoe, and Vantage Data Centers.
Meanwhile, OpenAI itself is keeping its own debt low by leaning heavily on partner financing.
How does the money work?
OpenAI plans to spend a staggering $1.4 trillion over the next eight years for tech infrastructure but expects just $20 billion in revenue by 2025—less than 2% of what it needs.
To avoid piling up its own debt, OpenAI uses creative financing like an unused $4 billion credit line and special loans through its partners.
Oracle's high-stakes bet
Oracle stands out with a huge $300 billion contract to supply computing power—even as its own market value recently took a big hit.
Analysts think Oracle might need to borrow up to $100 billion over four years just for this deal.
Altogether, the partner group's debt is bigger than the net debt of six major global companies combined—a bold (and risky) move as AI keeps growing fast.