Oracle Layoffs 2026: Oracle Corp., a cloud technology company that provides organisations around the world with computing infrastructure and software to help them innovate, unlock efficiencies and become more effective, is planning to cut thousands of jobs across its divisions, according to a Bloomberg report.
The company is reportedly facing a tightening cash situation due to its costly AI data centre expansion. According to the report, Oracle is struggling to manage the financial strain from this high-profile and increasingly expensive AI initiative. In September 2025, the company laid off approximately 3,000 employees in India, the US, Canada, and the Philippines.
Oracle job cuts: Thousands of employees to get pink slips!
According to sources familiar with the matter who spoke on condition of anonymity, the job cuts will affect multiple areas of the company and could start as early as this month. Two of the sources said the company is looking to eliminate positions that it believes will be less valuable to the company with the advent of AI, according to a report by Bloomberg.
Currently, under Chairman Larry Ellison, Oracle is planning to expand its data centres to accommodate AI-related services for its clients, including OpenAI. Traditionally, Oracle is known for providing database-related services, and for the past few years, the company has been focusing on strengthening its cloud computing division, particularly with regard to AI, to compete with market leaders such as Amazon.com Inc. and Microsoft Corp.
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Wall Street estimates that Oracle's investment in data centres via its cloud business will cause its cash flow to go into negative territory in the coming years, with returns expected only around 2030, Bloomberg estimates show. Last month, Oracle said that it plans to raise up to USD 50 billion this year through debt and equity issues.
Sources say the planned job cuts are likely to be broader than Oracle's usual rolling reductions. This week, the company informed employees that it would review many open positions in its cloud division, effectively slowing or pausing hiring, according to those familiar with the decision, according to a Bloomberg report.
Oracle declined to provide a comment. As of the end of May 2025, the company employed approximately 162,000 people worldwide. According to sources, plans for workforce reductions are ongoing and remain subject to change, said a report by Bloomberg.
Oracle's initial moves as an AI cloud provider drew favour from investors, who boosted the stock 61 per cent in 2024 and 20 per cent last year. However, as the costs increased, the market has soured on the company, with the shares falling 54 per cent from their September 2025 high through Wednesday's close, according to a Bloomberg report.
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