Oracle has begun cutting thousands of jobs as it accelerates a costly push into artificial intelligence infrastructure, with analysts warning the layoffs could ultimately reach tens of thousands of roles.
Employees were informed via email that their positions were being eliminated “as part of a broader organisational change”, with some workers immediately locked out of company systems. The abrupt nature of the cuts has drawn attention across the tech sector, particularly as Oracle seeks to free up capital for its expanding AI ambitions.
The company, founded by Larry Ellison, employs around 160,000 people globally, and analysts have suggested that between 20,000 and 30,000 jobs could be at risk as part of the restructuring.
The layoffs come amid a major shift in Oracle’s strategy, as it commits tens of billions of dollars to building data centres to support the rapid growth of artificial intelligence.
The company has forecast spending of up to $50 billion this year alone on new infrastructure, designed to provide computing power for major clients including OpenAI and Meta.
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