The life of billionaire Oracle cofounder and international playboy Larry Ellison, who dropped out of college twice and has a $75 billion fortune

Avery Hartmans,Taylor Nicole RogersSep 5, 2020, 02:20 IST

Larry Ellison.Ezra Shaw/Getty Images

Larry Ellison, the founder and CTO of Oracle, has a net worth of $75.7 billion, according to Forbes.
But Ellison hasn't had the tech world's typical path to success. He dropped out of college twice and didn't become a billionaire until age 49.
Over the years, he's built Oracle into a $170 billion behemoth whose former employees have gone on to start companies like Salesforce.
He's also become a lavish spender, owning several homes and even the entire Hawaiian island of Lanai.
In December 2018, he joined his "close friend" Elon Musk on Tesla's board of directors.
Ellison is also one of the few tech leaders who openly supports President Donald Trump.

Larry Ellison, the 76-year-old billionaire cofounder of Oracle, is one of the most interesting men in tech.

Whether yacht racing, buying whole Hawaiian islands, or trash-talking competitors, there's always a good chance we'll be surprised with what Ellison, who has a net worth of $75.7 billion, does next.

Here's how he went from two-time college dropout to international playboy and tech titan.

Matt Weinberger contributed to an earlier version of this story.

Lawrence Joseph Ellison was born in the Bronx on August 17, 1944, the son of a single mother named Florence Spellman.

The view of Manhattan from the Bronx. ANDREW HOLBROOKE/Corbis via Getty Images

When he was 9 months old, baby Larry came down with pneumonia, according to Bloomberg. His mom sent him to Chicago to live with his aunt and uncle, Lillian and Louis Ellison.

According to Vanity Fair, Louis, his adoptive father, was a Russian immigrant who took the name "Ellison" in tribute to the place in which he entered the US: Ellis Island.

When he was 9 months old, baby Larry came down with pneumonia, according to Bloomberg. His mom sent him to Chicago to live with his aunt and uncle, Lillian and Louis Ellison.

According to Vanity Fair, Louis, his adoptive father, was a Russian immigrant who took the name Ellison in tribute to the place in which he entered the US: Ellis Island.

Ellison went to high school in Chicago's South Side before attending the University of Illinois at Urbana-Champaign. When his adoptive mother died during his second year at college, Ellison dropped out. He tried college again later at the University of Chicago but dropped out again after only one semester.

A view of the campus at University of Illinois at Urbana-Champaign. Jeffrey Greenberg/Universal Images Group via Getty Images

Source: Bloomberg

Ellison went to high school in Chicago's South Side before attending the University of Illinois at Urbana-Champaign. When his adoptive mother died during his second year at college, Ellison dropped out. He tried college again later at the University of Chicago but dropped out again after only one semester.

In 1966, a 22-year-old Ellison moved to Berkeley, California — near the future Silicon Valley and already the place where the tech industry was taking off. He made the trip from Chicago to California in a flashy turquoise Thunderbird that he thought would make an impression in his new life.

A turquoise Ford Thunderbird, but not the one Ellison drove. Rolf Schulten/ullstein bild via Getty Images

Source: Inc., Vanity Fair

In 1966, a 22-year-old Ellison moved to Berkeley, California — near the future Silicon Valley and already the place where the tech industry was taking off. He made the trip from Chicago to California in a flashy turquoise Thunderbird that he thought would make an impression in his new life.

Source: Inc., Vanity Fair

Ellison bounced around from job to job, including stints at companies like Wells Fargo and the mainframe manufacturer Amdahl. Along the way, he learned computer and programming skills.

A mainframe computer room in the 1970s. H. Armstrong Roberts/ClassicStock/Getty Images

Source: Vanity Fair

Ellison bounced around from job to job, including stints at companies like Wells Fargo and the mainframe manufacturer Amdahl. Along the way, he learned computer and programming skills.

The turning point came when Ellison came to work for the electronics company Ampex, which had a contract to build a database for the CIA codenamed "Oracle."

Pool / Getty Images

Source: Inc.

In 1977, Ellison and partners Bob Miner and Ed Oates founded a new company, Software Development Laboratories. The company started with $2,000 of funding, $1,200 of which came out of Ellison's own pocket.

Larry Ellison in 1990. James Leynse/Corbis via Getty Images

Ellison and company were inspired by IBM computer scientist Edgar F. Codd's theories for a so-called relational database — a way for computer systems to store and access information, according to Britannica. Nowadays, they're taken for granted, but in the '70s, they were a revolutionary idea.

In 1977, Ellison and partners Bob Miner and Ed Oates founded a new company, Software Development Laboratories. The company started with $2,000 of funding, $1,200 of which came out of Ellison's own pocket.

The first version of the Oracle database was version 2 — there was no version 1. In 1979, the company renamed itself Relational Software Inc., and in 1982, it formally became Oracle Systems Corp., after its flagship product.

AP Photo/Eric Risberg

Source: Inc.

The first version of the Oracle database was version 2 — there was no version 1. In 1979, the company renamed itself Relational Software Inc., and in 1982, it formally became Oracle Systems Corp., after its flagship product.

As one of the key drivers of the growing computer industry, Oracle grew fast. In 1986, Oracle had its initial public offering, reporting revenue of $55 million.

AP Images

Source: Inc.

Still, in 1990, Oracle had to lay off 10% of its workforce, about 400 people, because of what Ellison later described as "an incredible business mistake."

REUTERS/Robert Galbraith

Oracle had allowed its salespeople to book future sales in the current quarter, meaning all its numbers were skewed, according to CRN. It resulted in lawsuits and trouble with regulators.

It didn't get the decade off to a great start. After adjusting for that huge error, Oracle was said to be close to bankruptcy. At the same time, rivals like Sybase were eating away at Oracle's market share.

Oracle had allowed its salespeople to book future sales in the current quarter, meaning all its numbers were skewed, according to CRN. It resulted in lawsuits and trouble with regulators.

It took a few years, but by 1992, Ellison and Oracle managed to right the course with new employees and the popular Oracle7 database.

Scott Olson / Getty Images

Source: Oracle

Ellison is known for his willingness to trash-talk competitors. For much of the '90s, he and Oracle were locked in a public-relations battle with the competitor Informix, which went so far as to place a "Dinosaur Crossing" billboard outside Oracle's Silicon Valley offices at one point.

REUTERS/Robert Galbraith/Files

Source: Fortune

Ellison is known for his willingness to trash-talk competitors. For much of the '90s, he and Oracle were locked in a public-relations battle with the competitor Informix, which went so far as to place a "Dinosaur Crossing" billboard outside Oracle's Silicon Valley offices at one point.

But Oracle just kept steamrolling over the competition. And with Ellison as Oracle's major shareholder, his millions kept rolling in. He started to indulge in some expensive hobbies — including yacht racing. That's Ellison at the helm during a 1995 race.

Ian Mainsbridge/AP Images

Source: Bloomberg

But Oracle just kept steamrolling over the competition. And with Ellison as Oracle's major shareholder, his millions kept rolling in. He started to indulge in some expensive hobbies — including yacht racing. That's Ellison at the helm during a 1995 race.

He also sponsors the Oracle USA sailing team, which won the America's Cup in 2010.

Clive Mason/Getty Images

Source: Bloomberg

Ellison even managed to turn a potential loss into a big win. In 1999, Ellison's protégé, Marc Benioff, left Oracle to work on a new startup called Salesforce.com. Ellison was an early investor, putting $2 million into his friend's new venture.

Marc Benioff in 2007. David Wong/South China Morning Post via Getty Images

Source: Business Insider

Ellison even managed to turn a potential loss into a big win. In 1999, Ellison's protégé, Marc Benioff, left Oracle to work on a new startup called Salesforce.com. Ellison was an early investor, putting $2 million into his friend's new venture.

When Benioff found out that Ellison had Oracle working on a direct competitor to Salesforce's product, he tried to force his mentor to quit Salesforce's board. Instead, Ellison forced Benioff to fire him — meaning Ellison kept his shares in Salesforce.

Jonathan Elderfield / Liaison Agency

Source: Business Insider

When Benioff found out that Ellison had Oracle working on a direct competitor to Salesforce's product, he tried to force his mentor to quit Salesforce's board. Instead, Ellison forced Benioff to fire him — meaning Ellison kept his shares in Salesforce.

Given that Salesforce is now a $115 billion company, Ellison personally profits even when his competitors do well. It has led to a love-hate relationship between the two executives that continues to this day, with the two taking shots at each other in the press.

Stephen Lam/Reuters; Kimberley White/Getty Images

Source: Business Insider

Given that Salesforce is now a $115 billion company, Ellison personally profits even when his competitors do well. It has led to a love-hate relationship between the two executives that continues to this day, with the two taking shots at each other in the press.

In fact, Salesforce aside, the dot-com boom of the late '90s benefited Oracle, too: All of those new dot-com companies needed databases, and Oracle was there to sell them.

Laurent Gillieron/AP Images

Source: Investor's Business Daily

In fact, Salesforce aside, the dot-com boom of the late '90s benefited Oracle, too: All of those new dot-com companies needed databases, and Oracle was there to sell them.

Source: Investor's Business Daily

When Steve Jobs returned to Apple as CEO in 1997, he asked Ellison to sit on the board. Ellison stuck around for a while but felt that he couldn't devote the time.

Mousse Mousse/Reuters

Source: Inc.

With the coffers overflowing, Ellison was able to lead Oracle through a spending spree once the dot-com boom was over and prices were low.

David Paul Morris/Getty Images

In 2004, for example, Oracle snapped up the HR software provider PeopleSoft for $10.3 billion.

And in 2010, Oracle bought Sun Microsystems, a server company that started at about the same time as Oracle, in 1982. That acquisition gave Oracle lots of key technology, including control over the popular MySQL database.

In 2004, for example, Oracle snapped up the HR software provider PeopleSoft for $10.3 billion.

Starting in the 2010s, Ellison started to take more of a back seat, handing more responsibilities to trusted lieutenants, like Mark Hurd and Safra Catz, then Oracle's co-presidents.

Oracle CEOs Mark Hurd and Safra Catz AP

Source: Inc.

Starting in the 2010s, Ellison started to take more of a back seat, handing more responsibilities to trusted lieutenants, like Mark Hurd and Safra Catz, then Oracle's co-presidents.

In 2014, Ellison officially stepped down as Oracle CEO, handing control over to Hurd and Katz, who became co-CEOs. Ellison now serves as the company's chairman and chief technology officer.

Oracle co-founder Larry Ellison delivers the keynote address during the annual Oracle OpenWorld conference on September 30, 2014 in San Francisco, California.. Getty

Source: Inc.

In 2014, Ellison officially stepped down as Oracle CEO, handing control over to Hurd and Katz, who became co-CEOs. Ellison now serves as the company's chairman and chief technology officer.

In 2016, Ellison scored a personal coup: the purchase of NetSuite.

NetSuite CEO Zach Nelson. Nora Tam/South China Morning Post via Getty Images

Back in 1998, Ellison had made a $125 million investment in ex-Oracle exec Evan Goldberg's startup business-management software firm, NetSuite. It ended up working out well for Ellison when NetSuite CEO Zach Nelson negotiated the sale of the company to Oracle for $9.3 billion, netting Ellison a cool $3.5 billion in cash for his stake.

NetSuite investor T. Rowe Price tried to block the deal, citing Ellison's conflict of interest, but the sale closed in November 2016.

Ellison didn't become a billionaire until age 49. Now, he has a net worth of $75.7 billion, according to Forbes. That makes him the fifth-richest person in the world.

Larry Ellison Getty/Justin Sullivan / Staff

Source: Forbes, Business Insider

He's used his billions in a variety of ways: he invested in educational platform maker Leapfrog Enterprises ...

Brendan McDermid/Reuters

Source: Bloomberg

... and was an early investor in the ill-fated blood-testing Theranos, which shut down in 2018 after founder Elizabeth Holmes was accused of fraud.

Theranos founder Elizabeth Holmes Mike Blake/Reuters

Source: Business Insider

In December 2018, Ellison joined the board of directors at Tesla, where he's been a major investor. Earlier in 2018, Ellison described Tesla CEO Elon Musk as a "close friend," and defended him from critics.

Tesla CEO Elon Musk. Paul Hennessy/SOPA Images/LightRocket via Getty Images

Source: Business Insider, Wall Street Journal

In December 2018, Ellison joined the board of directors at Tesla, where he's been a major investor. Earlier in 2018, Ellison described Tesla CEO Elon Musk as a "close friend," and defended him from critics.

Source: Business Insider, Wall Street Journal

Ellison has also spent lavishly over the years, so much so that his accountant, Philip Simon, once asked him to "budget and plan," according to Bloomberg.

Xaume Olleros/Getty Images Sport

Source: Bloomberg

But Ellison's spending didn't slow down. In 2012, he bought 98% of the Hawaiian island of Lanai.

Andre Seale/VW PICS/Universal Images Group via Getty Images; Noah Berger/Reuters

Ellison founded a startup called Sensei that does hydroponic farming on Lanai in March 2016.

He also purchased Hawaiian budget airline Island Air in 2014, before selling a controlling interest in the airline two years later after it struggled financially.

Ellison founded a startup called Sensei that does hydroponic farming on Lanai in March 2016.

He also purchased Hawaiian budget airline Island Air in 2014, before selling a controlling interest in the airline two years later after it struggled financially.

Ellison also owns the Astor Beechwood Mansion in Newport, Rhode Island ...

Joe Sohm/Visions of America/UIG via Getty Images

Source: Bloomberg

... and this home in Malibu. Ellison also has houses in Woodside, California, and Rancho Mirage, California.

Realtor.com

Source: Bloomberg

In 2009, Ellison purchased the Indian Wells tennis tournament for a reported $100 million.

Ellison at Indian Wells in 2011. Danny Moloshok/Reuters

Source: Los Angeles Times

Ellison is also a noted philanthropist. In 2010, he signed the Giving Pledge, promising to donate 95% of his fortune before he dies. And in May 2016, Ellison donated $200 million to a cancer treatment center at the University of Southern California.

Source: Forbes, Bloomberg

Ellison is also a noted philanthropist. In 2010, he signed the Giving Pledge, promising to donate 95% of his fortune before he dies. And in May 2016, Ellison donated $200 million to a cancer treatment center at the University of Southern California.

Source: Forbes, Bloomberg

Ellison has been married and divorced four times. Coupled with his extreme wealth, it's given him a reputation as an international, jet-setting playboy. He most recently dated Nikita Kahn, a model and actress.

WASHINGTON, DC - SEPTEMBER 25: Executive Chairman Larry Ellison of Oracle Corp. and Nikita Kahn arrive for a state dinner in honor of Chinese President President Xi Jinping and his wife Peng Liyuan at the White House September 25, 2015in Washington, DC. Xi arrived in Washington, the second stop of his state visit to the United States, on Thursday after a busy two-and-a-half-day stay in Seattle. (Photo by Chris Kleponis-Pool/Getty Images)

Source: South China Morning Post

Ellison has been married and divorced four times. Coupled with his extreme wealth, it's given him a reputation as an international, jet-setting playboy. He most recently dated Nikita Kahn, a model and actress.

Source: South China Morning Post

Ellison has two children. His daughter, Megan, is an Oscar-nominated film producer and the founder of Annapurna Pictures. The company has produced films like "Zero Dark Thirty" and "American Hustle."

Megan Ellison. Alberto E. Rodriguez/Getty Images

Source: Vanity Fair

Ellison has two children. His daughter, Megan, is an Oscar-nominated film producer and the founder of Annapurna Pictures. The company has produced films like "Zero Dark Thirty" and "American Hustle."

Ellison's son, David, is also in the film business. His company, Skydance Media, has produced movies like "Terminator: Dark Fate" and films in the "Mission: Impossible" franchise.

Larry Ellison (left) and his son, David. Eric Charbonneau/Invision/AP

Source: Variety

Ellison's son, David, is also in the film business. His company, Skydance Media, has produced movies like "Terminator: Dark Fate" and films in the "Mission: Impossible" franchise.

Ellison is currently one of the few tech leaders who has a friendly relationship with President Donald Trump.

Justin Sullivan/Getty Images

Ellison has said publicly that he supports Trump and wants him to do well, and hosted a Trump fundraiser at his Rancho Mirage home in February, though he did not attend. The fundraiser caused an outcry among Oracle employees, who started a petition asking senior Oracle leadership to stand up to Ellison. Safra Catz, CEO of Oracle, also has close ties to the Trump administration, having served on Trump's transition team.

Ellison and Trump remain close and have reportedly spoken on the phone about possible coronavirus treatments. Trump has also supported Oracle's bid to buy TikTok, calling Oracle a "great company."

Ellison and Trump remain close and have reportedly spoken on the phone about possible coronavirus treatments. Trump has also supported Oracle's bid to buy TikTok, calling Oracle a great company.

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The life of billionaire Oracle cofounder and international playboy Larry Ellison, who dropped out of college twice and has a $75 billion fortune

Lawrence Joseph Ellison was born in the Bronx on August 17, 1944, the son of a single mother named Florence Spellman.

In 1966, a 22-year-old Ellison moved to Berkeley, California — near the future Silicon Valley and already the place where the tech industry was taking off. He made the trip from Chicago to California in a flashy turquoise Thunderbird that he thought would make an impression in his new life.

Ellison bounced around from job to job, including stints at companies like Wells Fargo and the mainframe manufacturer Amdahl. Along the way, he learned computer and programming skills.

The turning point came when Ellison came to work for the electronics company Ampex, which had a contract to build a database for the CIA codenamed "Oracle."

In 1977, Ellison and partners Bob Miner and Ed Oates founded a new company, Software Development Laboratories. The company started with $2,000 of funding, $1,200 of which came out of Ellison's own pocket.

The first version of the Oracle database was version 2 — there was no version 1. In 1979, the company renamed itself Relational Software Inc., and in 1982, it formally became Oracle Systems Corp., after its flagship product.

As one of the key drivers of the growing computer industry, Oracle grew fast. In 1986, Oracle had its initial public offering, reporting revenue of $55 million.

Still, in 1990, Oracle had to lay off 10% of its workforce, about 400 people, because of what Ellison later described as "an incredible business mistake."

It took a few years, but by 1992, Ellison and Oracle managed to right the course with new employees and the popular Oracle7 database.

Ellison is known for his willingness to trash-talk competitors. For much of the '90s, he and Oracle were locked in a public-relations battle with the competitor Informix, which went so far as to place a "Dinosaur Crossing" billboard outside Oracle's Silicon Valley offices at one point.

But Oracle just kept steamrolling over the competition. And with Ellison as Oracle's major shareholder, his millions kept rolling in. He started to indulge in some expensive hobbies — including yacht racing. That's Ellison at the helm during a 1995 race.

He also sponsors the Oracle USA sailing team, which won the America's Cup in 2010.

Ellison even managed to turn a potential loss into a big win. In 1999, Ellison's protégé, Marc Benioff, left Oracle to work on a new startup called Salesforce.com. Ellison was an early investor, putting $2 million into his friend's new venture.

When Benioff found out that Ellison had Oracle working on a direct competitor to Salesforce's product, he tried to force his mentor to quit Salesforce's board. Instead, Ellison forced Benioff to fire him — meaning Ellison kept his shares in Salesforce.

Given that Salesforce is now a $115 billion company, Ellison personally profits even when his competitors do well. It has led to a love-hate relationship between the two executives that continues to this day, with the two taking shots at each other in the press.

In fact, Salesforce aside, the dot-com boom of the late '90s benefited Oracle, too: All of those new dot-com companies needed databases, and Oracle was there to sell them.

When Steve Jobs returned to Apple as CEO in 1997, he asked Ellison to sit on the board. Ellison stuck around for a while but felt that he couldn't devote the time.

With the coffers overflowing, Ellison was able to lead Oracle through a spending spree once the dot-com boom was over and prices were low.

Starting in the 2010s, Ellison started to take more of a back seat, handing more responsibilities to trusted lieutenants, like Mark Hurd and Safra Catz, then Oracle's co-presidents.

In 2014, Ellison officially stepped down as Oracle CEO, handing control over to Hurd and Katz, who became co-CEOs. Ellison now serves as the company's chairman and chief technology officer.

In 2016, Ellison scored a personal coup: the purchase of NetSuite.

Ellison didn't become a billionaire until age 49. Now, he has a net worth of $75.7 billion, according to Forbes. That makes him the fifth-richest person in the world.

He's used his billions in a variety of ways: he invested in educational platform maker Leapfrog Enterprises ...

... and was an early investor in the ill-fated blood-testing Theranos, which shut down in 2018 after founder Elizabeth Holmes was accused of fraud.

In December 2018, Ellison joined the board of directors at Tesla, where he's been a major investor. Earlier in 2018, Ellison described Tesla CEO Elon Musk as a "close friend," and defended him from critics.

Ellison has also spent lavishly over the years, so much so that his accountant, Philip Simon, once asked him to "budget and plan," according to Bloomberg.

But Ellison's spending didn't slow down. In 2012, he bought 98% of the Hawaiian island of Lanai.

Ellison also owns the Astor Beechwood Mansion in Newport, Rhode Island ...

... and this home in Malibu. Ellison also has houses in Woodside, California, and Rancho Mirage, California.

In 2009, Ellison purchased the Indian Wells tennis tournament for a reported $100 million.

Ellison is also a noted philanthropist. In 2010, he signed the Giving Pledge, promising to donate 95% of his fortune before he dies. And in May 2016, Ellison donated $200 million to a cancer treatment center at the University of Southern California.

Ellison has been married and divorced four times. Coupled with his extreme wealth, it's given him a reputation as an international, jet-setting playboy. He most recently dated Nikita Kahn, a model and actress.

Ellison has two children. His daughter, Megan, is an Oscar-nominated film producer and the founder of Annapurna Pictures. The company has produced films like "Zero Dark Thirty" and "American Hustle."

Ellison's son, David, is also in the film business. His company, Skydance Media, has produced movies like "Terminator: Dark Fate" and films in the "Mission: Impossible" franchise.

Ellison is currently one of the few tech leaders who has a friendly relationship with President Donald Trump.