Oracle may cut more jobs this month as it pours billions into AI infrastructure
Follow UsOracle managers have reportedly been asked to identify roles that could be eliminated before September 1.
The company cut around 21,000 jobs in fiscal 2026, reducing its workforce by roughly 13 per cent.
Oracle spent $55.7 billion on AI infrastructure last fiscal year and recorded $1.84 billion in restructuring costs.
Oracle is reportedly preparing for another round of job cuts this month as the technology company looks to control workforce costs while continuing to spend heavily on artificial intelligence infrastructure. As per Business Insider, managers at Oracle have been asked to identify employees who might be affected by the planned reductions.
SurveyThe reported layoffs may come before the company enters the second fiscal quarter on September 1, with some teams potentially facing cuts of more than 10 per cent.
Oracle layoffs on cards?
The reported layoffs may add to a massive reduction in Oracle’s workforce during the previous fiscal year. The report also stated that the company’s headcount fell by around 21,000 employees during fiscal 2026, accounting for roughly 13 percent of its workforce. Oracle ended the period with about 141,000 employees, it added.
This comes as Oracle attempts to balance its expanding AI infrastructure business with costs associated with running the company. Managers have reportedly asked to assess their teams and identify positions that can be eliminated, although the final scale of the cuts remains unclear.
Oracle spending billions on AI infrastructure
The company has increased its investment in infrastructure to meet growing demand for AI computing. It reportedly spent $55.7 billion on AI-related infrastructure during fiscal 2026 and borrowed around $43 billion to help fund its expansion.
The company is also reportedly planning to raise another $40 billion through a combination of debt and equity during the current fiscal year. The spending comes as demand for Oracle’s cloud infrastructure continues to grow, particularly from customers looking to secure computing capacity for AI workloads.
Interestingly, the company’s restructuring costs have also increased sharply. A Reuters report from June, citing the company’s filings, said Oracle recorded $1.84 billion in severance and other restructuring-related expenses during fiscal 2026, compared with $374 million a year earlier.
