Oracle admits it has cut 21,000 jobs, admits 'deployment of AI technologies across our operations have resulted, and may continue to result, in
reductions to our workforce'

Date:
Tue, 23 Jun 2026 16:10:00 +0000

Description:
Oracle has laid off around 12,000 workers, and admits AI is partly to blame.

FULL STORY ======================================================================Copy link Facebook X Whatsapp Reddit Pinterest Flipboard Threads Email Share this article 0 Join the conversation Follow us Add us as a preferred source on Google Newsletter Subscribe to our newsletter Oracle now has around 141,000 workers, down from 162,000 in 12 months The company spent $1.84 billion in severance and related costs last year Billions to be raised by means of new debt and equity to fund AI plans Despite recently confirming record revenues of $67.4 billion in its just-closed fiscal year, marking a 17% rise, Oracle has laid off an estimated 21,000 workers during that same 12-month period.

The company confirmed it had around 141,000 workers on the books as of May 2026, but when it made the same report last year, it had around 162,000 employees. However despite record revenue and drastic cost-cutting measures, share prices are down around 15% in one year largely due to concerns over massive AI-driven capex. Latest Videos From Watch full video here: Inside Oracle's massive AI strategy In a filing, the company noted that the layoffs had been impacted by various factors, including management and product changes, performance issues, other strategic shifts and business
acquisitions. But AI also got its fair share of the blame, both directly and indirectly through shifting company priorities and improving internal efficiency.

During the year, Oracle spent an estimated $1.84 billion on severance packages, restructuring and other employee costs, marking a huge increase
over the $374 million it spent on restructuring during the previous year. You may like Freshworks and Coinbase announces major layoffs - AI blamed Zuckerberg blames Meta layoffs on AI costs - with more job cuts possibly to come 'We are making clear, strategic investments': Cisco cuts 4,000 jobs,
even as AI orders surge

But that's nothing compared to how much the hyperscaler plans to spend in capex this coming year most of the $70 billion projection will be allocated toward data centers and other cloud infrastructure.

The biggest risk that investors worry about could be this funding's source though, because current plans include raising around $40 billion if it
through new debt and equity instead of operating cash flow. Around $20
billion will likely come from stock issuance (per Reuters ) the company is currently worth an estimated $503.5 billion. Are you a pro? Subscribe to our newsletter Sign up to the TechRadar Pro newsletter to get all the top news, opinion, features and guidance your business needs to succeed! Contact me
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However, recent high-profile deals with the likes of OpenAI and Meta also speak volumes about confidence in the company from a customer point of view.

All of this while generating electricity via higher-cost natural gas fuel cells "with minimal emissions," as the company stated in its fourth-quarter release . Follow TechRadar on Google News and add us as a preferred source to get our expert news, reviews, and opinion in your feeds.



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Link to news story: https://www.techradar.com/pro/oracle-says-ai-strategy-partly-responsible-for-2 1-000-redundancies


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