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Oracle cuts jobs in cloud division amid rising AI investments

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Oracle cuts jobs in cloud division amid rising AI investments

in Tech
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Oracle cuts jobs in cloud division amid rising AI investments
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Athira Sethu

Kochi, 14 August 2025

Oracle is reducing headcount in its cloud business as part of a move to lower costs without sacrificing big investments in artificial intelligence (AI) infrastructure. Over 150 workers in the Seattle region, one of Oracle’s key cloud hubs, have been terminated, according to reports. The affected personnel were recently told that their jobs were being cut. A number of the layoffs were due to employee performance, but the company is still hiring in other parts of the division.

The layoffs initially affected U.S. and Indian workers, with others likely to suffer a similar reduction in the near term. Staff members across regions have been requested to report for meetings with their managers, indicating that job cuts may increase. Oracle, meanwhile, has additional jobs available in Nashville, Tennessee, where it relocated its headquarters last year.

Oracle has detailed in filings with regulators that these kinds of changes to the workforce are occasionally required as a result of changes in corporate strategy, reorganizations, or performance issues. The company further added that these types of changes can result in short-term expenses and lower productivity while workers adapt to the restructuring.

Oracle’s action is part of a broader pattern within the technology sector, where firms are laying off staff in the wake of increased costs associated with AI development. For instance, Microsoft just fired approximately 15,000 employees, and Amazon also conducted layoffs in its ranks. Likewise, Intel planned to eliminate more than 5,500 positions across various U.S. states as it seeks to control costs associated with technology development.

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