Who is Larry Ellison
Larry Ellison is the founder of the software company Oracle Corporation (ORCL) which he created in 1977. He was president and chief executive officer of the company until 2020, and is still chairman of the board of directors and chief of technological direction. His business successfully went public in 1986, but suffered from quality control problems in 1988. These problems led to cash flow problems, operating losses, a drop in the share price and almost – bankruptcy a few years later. The new senior management worked with Ellison to resolve these issues by 1994. As the leader in Customer Relationship Management (CRM) software, Oracle is one of the most successful technology companies in the world. At the end of 2020, Oracle’s market value exceeded $ 170 billion. As the company’s largest shareholder, Ellison has a net worth of $ 55 billion, placing him 5th on the Forbes billionaire list for 2020. In March 2020, Ellison founded Sensei, a wellness startup focused on hydroponic farming and vacation retreats. On December 28, 2020, he was appointed to the board of directors of Tesla Inc (TSLA).
From dropout to billionaire
Larry Ellison dropped out of two consecutive universities and never graduated. Instead, he found that he was proficient in software programming. He worked as a computer programmer for about 10 years before founding Oracle in 1977, although the company did not take that name until 1983. It was originally called Software Development Laboratories. Harvard Business School named him LikendisLike of the Year in 1990.
Little is known about how Ellison invests his billions, but he is known for his lavish spending. He made headlines when he bought a $ 194 million yacht and spent $ 80 million to capture the America’s Cup. In 2020, he donated $ 200 million to the University of Southern California for a cancer treatment research center. He has made massive real estate investments, including a complete island in Hawaii and several plots in Malibu, California.
Larry Ellison’s life
Ellison was born in the south side of Chicago to a poor, single 19-year-old mother. A sickly child, he was adopted by his uncle and aunt. The latter died before the end of his adolescence. Ellison resisted family standards and pressure to become a doctor and become one of the wealthiest people in the world.
In the 1970s, Ellison, a college dropout, completed a series of eight-year jobs including the Fireman’s Fund, Wells Fargo & Company and Amdahl Corporation. Along the way, he acquired basic computer skills which he used as a programmer at Amdahl, where he worked on the first IBM-compatible mainframe system.
In 1977 Ellison and two Amdahl associates, Robert Miner and Ed Oates, launched Software Development Labs and were employed by the CIA to develop a relational database management system (RDBMS) in 1978. Ellison gave the code name to the Oracle project. He actually called it Oracle version two because he knew buyers would prefer it to version one. The programmer also based his system on a new type of database language he had just read in an IBM research document: SQL. Over time, Oracle became so famous that Ellison was inducted into the Academy of Achievement in 1997.
In the early 1980s, the Software Development Labs had only eight employees and their revenues were barely $ 1 million. In 1981, IBM signed with Oracle, and over the next seven years the company’s sales doubled to the point that Ellison renamed Oracle Corporation after its best-selling product. Accounting errors prompted Oracle’s first public offering (IPO), which nearly bankrupted the company. Ellison introduced new products, replaced staff and made management changes.
In 1992, Ellison introduced a popular version of the database system called Oracle 7, which propelled the company to the top of the field of database management. Banks, corporations, governments, airlines and others depend on the computer system. The Wall Street Journal called Ellison the highest paid executive in the world. The billionaire expanded his business by buying companies that included Retek, PeopleSoft, Hyperion Solutions, Siebel Systems and Sun Microsystems.
Oracle survived the tech crash that followed the dot-com bubble, and in November 2000, Ellison appeared on the cover of Fortune magazine as “the next richest man in the world.” Oracle Corporation has grown into a gigantic enterprise that employs more than 130,000 people and an annual gross profit of around $ 30 billion.
In 2020, Ellison stepped down as CEO and became executive president and chief technology officer. In 2020, the billionaire declared to the promotion of the University of Southern California: “Do not be afraid to experiment and try many different things. And don’t let the experts discourage you when you challenge the status quo. “
Properties of the Ellison Trophy
Many of Ellison’s purchases have been described as “trophy properties”. For Ellison, many of his properties represent a vision of his place in the world after Oracle. He envisions many of his homes as potential art museums to house his extensive art collection. He has a house for his modern art, one for his 19th century art and one for his French impressionist art, as well as a house built on the grounds of the Nanzen-ji temple in Japan to house his Japanese art. His home in Woodside, California, which is his main residence, was modeled after the palace of a 16th-century Japanese emperor. The 23-acre estate is worth $ 70 million and has taken more than nine years to build. Here are some of his most opulent purchases.
Lanai Island: Ellison has been captivated by Lanai Island since he flew over it decades ago on a private plane. Become multi-billionaire, he realized his dream by buying it for 300 million dollars. It owns everything but 2% of the island, including two Four Seasons resorts, a cinema, the water company, most of the island’s infrastructure, and many houses and buildings. His vision is to transform the island into a self-sufficient, eco-friendly vacation destination filled with ultra-luxury hotels and a sustainability lab to help make the island the first economically viable 100% green community . He even plans to help Lanai develop world-class commercial agricultural infrastructure. He bought two airlines and lengthened the runways at the airport to open up travel.
Malibu: Ellison has acquired properties in Malibu for more than a decade. He bought a whole strip of houses on “Billionaire Beach”. One of the houses belonged to producer Jerry Bruckheimer, for whom Ellison paid $ 18 million. Ellison installs one of his homes, a 2,800 square foot oceanfront bungalow, for rent for $ 65,000 per month during the summer. All of this is in addition to a series of properties he owns on Carbon Beach, as well as an indoor tennis club, an inn and a restaurant. People close to Ellison described his shopping spree as an investment and he monetized some of his properties. For example, he and chef Nobu Matsuhisa, Robert De Niro, and film producer Meir Teper transformed the historic Casa Malibu Inn into a sumptuous Japanese-style hotel called Nobu Ryokan.
Porcupine Creek: This 249-acre estate includes an 18-hole golf course and a 27-room mansion modeled on an Italian villa. The estate is just 20 minutes from the Indian Wells Tennis Garden, which hosts the annual BNP Paribas Open tennis tournament. Ellison, a tennis enthusiast, bought the tournament and its facilities in 2009 for $ 100 million. Then, in 2020, he bought Porcupine Creek for $ 42.9 million. He continues to invest in the event, which attracts the best players in the world and more than 450,000 fans. Porcupine Creek is home to many players and their families who enjoy the massive pool and the slides in the hot desert heat.
In addition to Ellison’s gift to the University of Southern California, he joined “The Giving Pledge”, with Warren Buffett, Bill Gates and others in 2020. In doing so, Ellison pledged to donate 95% of his wealth through a private trust. While most of his previous donations were anonymous, Ellison released the Giving Pledge at the request of Warren Buffett who hoped it would motivate others to do the same.