Oracle plans more layoffs as it pours billions into AI

Oracle is planning additional layoffs as the tech giant invests billions in AI infrastructure, according to Business Insider. The potential cuts could impact double-digit percentages of staff on certain teams, according to sources cited by the publication.

Oracle has asked managers to submit lists of employees who may be affected, with the goal of reducing payroll by the start of the second quarter in September. This follows a significant workforce reduction earlier in the year, where Oracle cut 21,000 employees, or 13%, during its fiscal year ending May 31, 2026, according to a regulatory filing.

Currently, Oracle employs around 141,000 people. The company is heavily investing in building data centers and acquiring necessary computing capacity to meet the growing demand for AI services. In fiscal 2026, Oracle spent $55.7 billion on infrastructure, including new data centers, which exceeded its cash inflows by $23.7 billion, according to Business Insider.

To fund its expansion, Oracle raised $43 billion through debt during the previous fiscal year and another $5 billion through stock sales. The company anticipates raising an additional $40 billion through a mix of debt and equity during the current fiscal year, as it continues to push into AI infrastructure to meet the increasing demand from companies developing and running artificial intelligence models.