Oracle cuts more than 150 jobs in cloud unit amid surge in AI expansion

Over 150 roles eliminated in Seattle as Oracle continues investing heavily in AI infrastructure, reflecting broader tech industry cost-control trends.

By  Storyboard18Aug 14, 2025 9:23 AM
Oracle cuts more than 150 jobs in cloud unit amid surge in AI expansion

Oracle Corp. has initiated layoffs in its closely watched cloud division, signalling the company's efforts to manage expenses amid significant spending on artificial intelligence (AI) infrastructure, according to Bloomberg.

Employees in the Seattle area were informed this week that more than 150 roles were being cut, according to sources familiar with the matter, the report added.

Oracle has not commented on the layoffs, and the total number of impacted roles remains unknown. The cuts were first reported by Datacenter Dynamics.

Some of these reductions were linked to performance issues, though the unit continues to hire in other areas.

The Seattle hub has historically been central to Oracle's cloud operations. The company, which moved its headquarters to Nashville last year, currently lists more job openings in Tennessee than any other state, reflecting its shifting geographic location.

According to the report, Oracle's stock remains near record highs, fuelled by momentum in its cloud business. Last month, the company signed an unprecedented deal with OpenAI, securing roughly 4.5 gigawatts of data center power in the U.S.

The layoffs mirror a broader trend in the tech sector, where companies such as Microsoft, Amazon, and Meta have implemented layoffs to offset rising AI-related costs. Microsoft, for instance, cut about 15,000 jobs this year alone.

In a June filing, Oracle noted that workforce adjustments occur periodically due to strategic shifts, reorganizations, or performance matters.

The company acknowledged that such restructurings can temporarily reduce productivity and increase restructuring expenses.

First Published on Aug 14, 2025 9:23 AM

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