Oracle to cut thousands of jobs amid AI data center spending push, Bloomberg reports
Published: 14:39 05 Mar 2026 EST
Oracle Corp (NYSE:ORCL, XETRA:ORC) is planning to cut thousands of jobs as it works to manage the financial strain from a major expansion of artificial intelligence data centers, according to a report by Bloomberg.
The layoffs are expected to affect multiple divisions and could begin as soon as this month. Some of the reductions will target roles the company believes will become less necessary as artificial intelligence is increasingly integrated into its operations. The cuts are expected to be broader than Oracle’s usual rolling layoffs.
The company has also started reviewing open job listings within its cloud unit, effectively slowing or freezing some hiring as it reassesses staffing needs.
Oracle, traditionally known for its database software, has been ramping up investment in cloud computing and AI infrastructure in recent years. The push is part of its strategy to compete more directly with industry leaders Amazon.com Inc (NASDAQ:AMZN) and Microsoft Corp (NASDAQ:MSFT).
However, the heavy spending required to build new data centers is expected to pressure the company’s finances. Wall Street analysts project that these investments could push Oracle’s cash flow into negative territory for several years before the spending begins to generate returns around 2030.
Last month, Oracle said it could raise up to $50 billion this year through a mix of debt and equity to help fund its AI-driven expansion.
