Oracle warns AI spending does not guarantee business value or returns
Business · 31 October 2026
Written by AI from multiple news reports
Oracle's head of AI strategy told businesses this week that using more AI does not automatically create real value. The warning came at Oracle's AI World event.
Many companies are moving AI tools from small test projects into full production, but they are not ready for the costs. A Splunk study found that three in five businesses find unpredictable bills harder to manage than costs that are high but stable.
Oracle itself is spending heavily on AI data centers, taking on significant debt to do so. Wall Street analysts have questioned whether this spending will deliver the returns Oracle has promised. The cost of protecting against Oracle defaulting on its debt recently reached its highest point since 2009.