Oracle Cuts Cloud Division Staff in New Layoffs

Leaked documents provide the clearest picture to date of Oracle Corporation's latest job cuts, targeting the company's vital cloud business. The layoffs, which began in late September, are part of cost-saving measures as the company invests heavily in AI infrastructure.

In the United States, the cuts affected 546 employees within the Oracle Cloud Infrastructure division, representing approximately 7.6% of the unit's workforce. Managers, engineers, software developers, and staff in data center maintenance and services were most impacted. Oracle cited compliance with federal anti-age discrimination laws as the reason for disclosing the employee data.

These job reductions represent another significant personnel cut for Oracle this year. The company had already reduced its global workforce by 21,000 employees, or 13%, by the end of its fiscal year in May. Prior to this latest round, Oracle employed 141,000 people.

Cloud infrastructure is one of Oracle's key growth areas, with its revenue surging 121% year-over-year in the most recent reporting period. Among the roles eliminated, Level III software development engineers were the most numerous, with 57 positions cut. Project managers and core infrastructure engineers were also affected.

Analysis of the documents indicates that the Data Center Support Services department, responsible for data center maintenance and technical support, also suffered substantial cuts. Forty-one employees from this division, including a vice president and two senior directors, were laid off. Concurrently, Oracle continues to invest billions in AI-related data centers, anticipating strong demand.