Oracle's AI Strategy Backfires as 21,000 Employees Are Let Go
AI bet goes awry: Oracle fires 21,000 employees
Oracle is cutting 21,000 jobs after its ambitious push into artificial intelligence failed to deliver the expected returns. The massive layoffs signal a significant shift in the company's strategy, moving away from broad AI integration to focus on core cloud infrastructure and cost efficiency. This decision highlights the risks tech giants face when betting heavily on emerging technologies without immediate profitability.
The promise of AI has been sold as a universal solution, but for Oracle, the reality of implementation costs and delayed returns has forced a painful reckoning.
- not_your_vase
The article seems to be more about Oracle being forced to cough up $7B as collateral for one of their new shiny (future-) data centers - even though apparently they tried to make this requirement go away, but the regulators weren't touched by their crocodile tears.
- mawadev
You kinda think senior management knows what goes on, but if you ever got in touch with senior management, you just know they have no idea and go off of vibes, as soon as the vibe shifts around them, its time to socialize the consequences... downwards
- NotMichaelBay
> By the end of fiscal year 2026, the company's workforce was slashed by about 21,000 employees – a decline of roughly 13% – from 162,000 to 141,000 workers.
Is this article from the future?
> Story by WALLA! MONEY
Who?