Oracle Joins Microsoft, Amazon, Meta in Layoffs, Slashes Over 150 Roles

Oracle has joined other tech giants like Microsoft, Amazon, and Meta in cutting jobs.

The company has announced plans to eliminate more than 150 positions in the Seattle area, long considered a key hub for the unit, in an effort to manage the steep costs of building out AI infrastructure. The layoffs reportedly affect employees in Oracle’s cloud division.

According to reports, staff were informed earlier this week that their roles had been terminated, with some cuts linked to performance issues. While the overall scale of layoffs remains unclear, Oracle continues to hire for other cloud roles, particularly in Tennessee, signalling a shift in focus since moving its headquarters to Nashville last year.

The move comes amid a broader trend of major technology companies trimming their workforces to adapt to the transformation driven by artificial intelligence. Microsoft has cut 15,000 jobs this year, while Amazon and Meta have also announced reductions.

Oracle’s cloud business has been a key driver of investor confidence, with shares trading near record highs. In June, the company signed a landmark agreement with OpenAI for about 4.5 gigawatts of U.S. data centre capacity — projects involving multi-billion-dollar commitments to expand server farms capable of meeting surging AI demand.

However, these heavy investments have weighed on cash flow, with Oracle reporting negative free cash flow for the fiscal year ending in May. In a June filing, the company submitted that periodic workforce changes are part of its strategic adjustments, reorganisations, or performance management efforts, though such restructurings can temporarily affect productivity.

As AI fuels growth, the massive infrastructure spending it requires is prompting some of the world’s biggest tech companies to cut costs elsewhere. The shift is also visible in India, where Tata Consultancy Services (TCS) recently announced plans to cut 12,000 jobs to become future-ready.