Oracle could lay off up to 30,000 employees, and one of the main reasons is the company’s “commitment” to Sam Altman’s OpenAI for… – The Times of India

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Oracle could lay off up to 30,000 employees, and one of the main reasons is the company’s “commitment” to Sam Altman’s OpenAI for… – The Times of India

By TOI Tech Desk
Publication Date: 2026-02-01 06:59:00

Oracle is facing massive job cuts, possibly 20,000 to 30,000, to fund its costly $300 billion OpenAI partnership. The tech giant has already taken on significant debt for AI data centers and the value of its shares has plummeted. U.S. banks are reluctant to finance Oracle’s projects, forcing the company to demand upfront payments from customers and consider selling its Cerner unit.

Oracle is reckoning with the possibility of its biggest workforce cuts ever – and at the heart of it is a $300 billion partnership with OpenAI that is proving to be far more expensive than anyone originally imagined.Investment bank TD Cowen reported this week that Oracle is considering cutting 20,000 to 30,000 jobs. The move would free up an estimated $8 billion to $10 billion in cash flow, money the company desperately needs to fund a sprawling network of AI data centers built primarily for operations Sam Altman‘s company.

The OpenAI deal is eating up Oracle financially

TD Cowen puts the OpenAI commitment alone at around $156 billion…

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