Oracle Implements Major Job Cuts Amid AI Investments

Wed Apr 01 2026 00:41:03 GMT+0000 (Coordinated Universal Time)

Oracle has made significant job cuts affecting senior engineers and program managers, while simultaneously ramping up its investment in artificial intelligence technologies.

In a strategic shift towards enhanced artificial intelligence capabilities, Oracle has executed substantial layoffs that reportedly include around 10,000 employees. Senior management noted that the reductions were not performance-related, reflecting a broader trend of tech companies optimizing their workforce amidst rising AI demands. Oracle has committed at least $50 billion towards infrastructure development to support AI initiatives, positioning itself at the forefront of this technological evolution.

Tech giant Oracle made significant job cuts on Tuesday, according to senior employees posting online, as it makes big investments in artificial intelligence (AI).

Michael Shepard, a senior manager, was not affected by the job cuts but wrote on LinkedIn on Tuesday that senior engineers, architects, operations leaders, program managers, and technical specialists had been let go. He mentioned the cuts were not based on performance.

Oracle has been employing AI tools internally and executives mentioned that this allows for fewer employees to handle more work. Mike Silicia, Oracle's co-chief executive, stated earlier this month that the use of AI coding tools enables smaller engineering teams to deliver complete solutions more rapidly.

After significant layoff discussions earlier this year, some 10,000 people are believed to have lost their jobs according to internal communications on Oracle's messaging system, Slack. It has been reported that fired employees received emails notifying them of their termination, alongside a month of severance pay.

The job cuts arrive at a time when Oracle is heavily invested in AI, planning to spend at least $50 billion on infrastructure in 2023 to meet surging demands for AI capabilities. The company is also part of the $500 billion Stargate initiative, aimed at enhancing data center capacity to support future AI processing needs. Larry Ellison, co-founder and CTO of Oracle, is noted as one of the richest individuals globally, overseeing such pivotal company transformations.