Oracle Cuts 21,000 Jobs to Accelerate AI Development

Oracle has cut approximately 21,000 employees globally over the past year to shift resources towards accelerating the development of artificial intelligence (AI) infrastructure. In its annual report, the company recorded a total workforce of around 141,000 as of 31 May 2026, down from 162,000 the previous year. Of the current workforce, about 49,000 are based in the United States, while 92,000 are spread across other countries. Oracle did not specify how many US workers were affected by the layoffs.

The company disclosed that it is still carrying out a restructuring programme that includes workforce adjustments. It also acknowledged that the adoption and implementation of AI technology across various operations has already led, and could continue to lead, to further reductions in employee numbers.

The efficiency measures come amid rising investment requirements for building data centres to support AI services. Oracle had previously been reported to have cut thousands of jobs to preserve funds for constructing AI data centres. Similarly, Meta has reportedly laid off around 8,000 employees and reassigned 7,000 others to roles focused on AI development.

Oracle is currently one of the main infrastructure providers for AI companies, including OpenAI. Last year, OpenAI signed an agreement with Oracle to provide 4.5 gigawatts of data centre capacity in the United States to support the computational needs of its large language models.