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Abstract
In 2025, Oracle Corporation embarked on one of the most ambitious investments in modern technology history: the Stargate Project, a multi-year, multi hundred-billion-dollar initiative to build hyperscale AI data centers primarily to support OpenAI’s frontier model training and inference needs. The project placed Oracle at the center of the rapidly evolving AI infrastructure ecosystem and represented a defining strategic gamble for the company and its founder, Larry Ellison. This case examines Oracle’s strategic position, motivations, financial risks, and competitive dynamics surrounding the Stargate Project. Students are asked to evaluate whether Stargate represents a rational long-term platform bet or an overextension driven by legacy considerations and AI exuberance. Keyword: competitive environment, technological paradigm shift, strategic position, business model, financial risk, AI infrastructure, Oracle, Stargate