According to one, the increasing use of AI contributed to Oracle laying off 21,000 employees in one year Securities and Exchange Commission Filed on Monday.
In its annual regulatory filing for the fiscal year ending May 31, Oracle said it had 141,000 full-time employees. In its 2025 filing, Oracle said it has 162,000 employees. The database management software company fell 12.9 percent in March after reporting mass layoffs.
“[T]“The adoption and deployment of AI technologies in our operations has resulted in and may continue to result in reductions in our workforce,” the filing reads.
However, the job cuts are also tied to larger capital expenditures to build out Oracle’s data center infrastructure to support AI workloads.
“The majority of the initiatives set forth by the 2026 Restructuring Plan were effective to implement our continued emphasis in developing, marketing, selling and delivering our cloud-based offerings,” this week’s filing reads.
It was said in February that Oracle planned to raise $45 billion to $50 billion in 2026 to expand its Oracle Cloud infrastructure for customers like OpenAI, xAI, AMD, Nvidia and Meta. About half of that funding will come through debt, with the remainder coming from equity. When Oracle announced this, investors were already concerned about Oracle’s increasing debt to fuel its AI efforts. Overall, Oracle has more than $120 billion in debt, according to its fiscal 2026 earnings report.
In February, bondholders sued Oracle, claiming they lost money because Oracle hid the need to increase its debt to build its AI infrastructure, Reuters reported.
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