economy
Oracle has drawn up plans for a new round of layoffs this month, sources say
The potential layoffs reduce Oracle's payroll as it racks up billions in debt to fund AI infrastructure.
TL;DR
- Oracle is planning a new round of job cuts to reduce payroll.
- The company is funding AI infrastructure with billions in debt.
- Previous cuts in the 2026 fiscal year led to a workforce decline of 21,000 employees.
- Oracle spent $55.7 billion on infrastructure in fiscal year 2026, exceeding cash flow by $23.7 billion.
- The company raised $43 billion through debt and expects to raise another $40 billion.
- Revenue rose 17% and cloud infrastructure grew 77% in the latest fiscal year.
- Oracle's stock is down nearly 26% this year.
- Company leadership downplays fears of AI replacing traditional software tools.