Xin Lang Cai Jing·2025-11-24 11:52Core Insights - Oracle's stock price surged in September due to the AI boom, briefly making founder Larry Ellison the world's richest person, but has since plummeted, resulting in a $130 billion drop in his net worth [3] - As of November 24, Larry Page of Alphabet surpassed Ellison to become the second richest person, with a net worth of $256.9 billion, while Ellison's net worth fell to $253.3 billion [3] Group 1: Oracle's AI Investments - Oracle is one of the largest investors in AI in the U.S., participating in the "Star Gate" initiative to invest $500 billion in AI infrastructure [4] - A consortium of about 20 banks is providing approximately $18 billion in project financing for data center construction in New Mexico, with Oracle as a tenant [4] - Oracle plans to issue $38 billion in bonds to fund AI data center construction, with adjusted net debt nearing $100 billion, marking a historical high in debt pressure [4] Group 2: Market Sentiment and Credit Risk - Oracle's AI revenue expectations heavily rely on OpenAI, with market skepticism regarding the viability of Oracle's projected "hundreds of billions in revenue" from OpenAI [4] - Oracle has become a benchmark for AI risk in the credit market, with traders increasingly buying credit default swap (CDS) contracts to hedge against potential defaults [4] - The cost of protecting against Oracle's debt default over the next five years has doubled in recent months, reflecting rising market concerns [4] Group 3: Stock Performance Comparison - Since its peak in September, Oracle's stock has fallen for six consecutive weeks, with a cumulative decline of 39%, closing at $198.76 on November 21 [5] - In contrast, Alphabet's stock has risen 58% year-to-date, driven by positive reception of its AI model Gemini, which has been praised for its advanced reasoning capabilities [5] - Larry Page's net worth has increased by $88.6 billion since 2025, reflecting the strong performance of Alphabet [5]