Oracle reportedly slashes workforce in cloud division

Oracle has reportedly announced job cuts within its cloud division, reflecting a trend among companies managing expenses in light of escalating investments in AI infrastructure.

Employees were informed week commencing 10 August, of their role eliminations, reported Bloomberg citing sources familiar with the situation.

Some of the layoffs were attributed to performance-related factors, although the division continues to recruit new talent.

Reports indicate that more than 150 positions were eliminated in the Seattle region, which has historically been a key area for the cloud unit.

Following its decision in 2024 to relocate its headquarters to Nashville, Oracle currently lists more job openings in Tennessee than in any other state.

An Oracle representative did not respond to Bloomberg’s several requests for comment, and the complete extent of the job cuts remains unclear.

The initial report on the reductions was provided by DatacenterDynamics, a publication focused on industry news.

In July 2025, the company secured a significant agreement with OpenAI for around 4.5GW of data centre power in the US.

However; Oracle faces substantial financial commitments, amounting to tens of billions of dollars, to expand its server farms to accommodate growing demand.

The company reported negative free cash flow for the fiscal year ending in May 2025.

In a filing from June 2025, Oracle noted that it regularly adjusts its workforce in response to strategic shifts, reorganisations, or performance issues.

The company stated, “These types of restructurings have resulted, and may in the future result, in increased restructuring costs and temporarily reduced productivity while employees adjust to the restructuring.”

In response to the rising costs associated with AI, several major technology firms have implemented workforce reductions.

Microsoft has laid off approximately 15,000 employees in 2025, while Amazon and Meta Platforms have also made similar cuts.

"Oracle reportedly slashes workforce in cloud division" was originally created and published by Verdict, a GlobalData owned brand.

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