Software king keen to set up research laboratory in NZ

By PETER GRIFFIN

One of the world's biggest business names, America's Cup hopeful Larry Ellison, plans to establish an Oracle development laboratory in New Zealand.

He will seek a joint venture with the Government.

Mr Ellison said yesterday that he hoped to build a research and development lab somewhere in New Zealand, mainly for lifestyle reasons.

"It's a great place to have kids. Maybe it's a bit of a personal fantasy of mine."

He said he wanted to buy land in conjunction with the Government. He would set aside 90 per cent of it for a reserve and develop the rest.

It would be a place for Oracle engineers to come to for the lifestyle, but New Zealanders would be employed as well.

Mr Ellison did not say how many people the project might employ.

He said New Zealand had the opportunity to attract IT talent from around the world.

"I don't see why New Zealand shouldn't be a magnet for highly talented engineers."

Asked about the state of the United States economy and the tech-sector slump that has buffeted Oracle, Mr Ellison said the company's business was improving.

Overall, he said, America was showing no firm signs of recovery.

"The US economy is not getting worse, but we don't see it getting better."

Asked where young New Zealanders should look if they wanted financial success, he disregarded his own industry, saying biotechnology was the new growth sector.

IT was a maturing sector and he had invested in biotechnology himself.

Mr Ellison continues to run Oracle between races, communicating with head office on a satellite link.

He said he would return to the US between racing spells to satisfy the Oracle board and shareholders.

The company had contributed nothing to his US$85 million ($179 million) cup campaign.

"Oracle is in no position to support my hobby."

Mr Ellison was on board Oracle BMW Racing's yacht, USA 76, in its first win of the Louis Vuitton Cup, against defending champions Prada on Tuesday.

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