Oracle reportedly lays off thousands amid AI spending push

Oracle has reportedly started cutting thousands of jobs amid AI spending push

Oracle has started cutting thousands of jobs, as the cloud services provider increases spending on artificial intelligence (AI) infrastructure, CNBC reported.

Oracle employed around 162,000 as of last May, while its stock has dropped 27% year to date, amid investor concerns over competitive risks from generative AI models and the impact of heavy investment on cash flows.

Despite job cuts, Oracle continues to expand its database capacity and increase capital spending. In September, it reported a 359% surge in remaining performance obligations to $455 billion, following a deal with OpenAI valued at more than $300 billion.