Larry Ellison Is Stepping Down As Ceo Of Oracle Inc

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Larry Ellison Is Stepping Down As Ceo Of Oracle Inc

Larry Ellison Is Stepping Down As CEO Of Oracle Inc.

A recent Forbes survey ranks Larry Ellison as the third-richest American of the present. Ellison is the fifth richest son in the world with a net worth of $48 billion.

He presently performs the daily operations of Oracle as the company's chief technology officer. Additionally, he is the executive chairman of Oracle's board of directors, giving him a lot of influence over the long-term strategic direction of the business.

In a prepared statement, Oracle board member Michael Boskin stated, 'Larry has made it very clear that he intends to continue working full time and spend his energies on product engineering, technology development, and strategy. Ellison's new titles are therefore more than merely send-off tributes. He is anticipated to continue his work. Additionally, two of Ellison's senior lieutenants now hold the position of CEO.

Safra Catz has been the CEO and CFO of Oracle since 2004 and 2011, respectively. Oracle has already removed the CFO designation from her executive profile, but has not yet named a replacement.

In addition to becoming Catz's co-president since joining Oracle in 2010, when it was engulfed in a crisis, Mark Hurd now has the position of CEO with her. Hurd didn't exactly leave his position as CEO at Hewlett-Packard (HPQ -1.88%) on good terms, but Ellison believed Hurd's skills were too important to let him remain unemployed.

It's hard to blame Ellison if he wants to closely monitor Oracle. Ellison's Oracle stock and stock options are currently worth $43 billion. With 25% of Oracle's entire market capitalization, he is by far the largest shareholder in the business. Vanguard, which manages investments, is in second position, owning just 3.9% of Oracle.

From a different perspective, Ellison's net worth is made up of more than 89% of the shares of Oracle. Even if Oracle lost all of its value right now, Ellison would still be a multibillionaire, but he would almost certainly drop off the list of the top 100 richest Americans. He would suddenly be worth less than Sumner Redst and Charles Schwab.

In recent years, the increase of sales has stagnated. Even in the highly successful business software sector, the company's gross margins are still quite high, but they no longer exhibit the progressive development that was previously Oracle's defining characteristic.

Oracle is kind of a happy medium when compared to competitors IBM (IBM 0.94%) and Microsoft (MSFT -0.41%). Microsoft has had rising sales but declining profits over the past few years, whereas IBM saw the exact opposite trend.

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