[News] Oracle Reportedly Slashes Thousands of Jobs as AI Spending Surges

Oracle is reportedly undertaking job cuts. According to CNBC, sources say the company has begun informing employees that it plans to reduce its workforce by thousands. Business Insider adds that the layoffs appear to affect staff globally, though the full scope has yet to be determined.

The company had about 162,000 full-time employees as of May 2025, according to its latest 10-K filing, as noted by Business Insider. The report also indicates that the cuts have impacted teams across Oracle Health, Sales, Cloud, Customer Success, and NetSuite.

Oracle Trims Costs to Sustain AI-Driven Expansion

CNBC notes that in recent years, Oracle has ramped up capital expenditures alongside cloud rivals such as Amazon to build data center infrastructure capable of supporting AI workloads. However, the company remains smaller than its cloud peers and has relied on the debt market to finance its expansion. In January, Oracle said it planned to raise $50 billion through debt and equity, though executives indicated during last month’s earnings call that there are no further plans to raise debt in 2026.

In this context, citing analysts, CNBC indicates that cutting 20,000 to 30,000 employees could generate an additional $8 billion to $10 billion in free cash flow.

Big Tech Layoffs Continue Across the Industry

Meanwhile, Business Insider notes that the layoffs reflect a broader trend of headcount reductions across Big Tech. In January, Amazon said it would cut about 16,000 corporate roles, following an earlier reduction of 14,000 employees. Last week, Meta also began laying off hundreds of workers, after several years of cuts that eliminated thousands of positions.

As highlighted by Reuters, more than 70 tech companies have cut about 40,480 jobs so far this year, according to Layoffs.fyi, as firms increasingly shift resources toward AI, raising concerns about AI-driven disruptions among workers.

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• [News] Meta Reportedly Eyes 20% Job Cuts, Largest Since 2023; ASML Plans 1,700 Layoffs
• [News] 2025 Tech Layoffs: Meta, Amazon, Microsoft and Others Cut Tens of Thousands of Roles

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