Oracle Corp.'s (NYSE:ORCL) stock slid over 8% in premarket trading Thursday as investors panicked over a plan to raise $40 billion to fund AI infrastructure, but CNBC’s Jim Cramer is defending the software giant, arguing the financing isn’t "outrageous" given the company’s $638 billion backlog.

Backlog Vs. Funding Fears

The sharp selloff—following a 10% tumble in after-hours trading—highlights a growing rift on Wall Street regarding the massive cash burn required to scale artificial intelligence clusters.

While the tech giant reported a blockbuster remaining performance obligation (RPO) of $638 billion, a figure highlighted by Futurum Equities’ Shay Boloor as “absolutely wild,” the simultaneous $40 billion debt and equity financing announcement spooked the market.

Cramer pushed back against the bearish sentiment on social media, emphasizing that high-performance AI data centers are incredibly capital-intensive by nature.

Watch Oracle. It was a gigantic number when it came to backlog. Huge. So spending has to go up. (not a traditional levered-so-backlog spend as these are so hard to build.) BUT they can lay off what they need to lay off and the funding needs aren't outrageous. It doesn't have to…

— Jim Cramer (@jimcramer) June 11, 2026