By Reuters
Publication Date: 2026-03-05 18:13:00
March 5 (Reuters) – Enterprise software company Oracle plans to cut thousands of jobs as it faces a cash crunch stemming from a massive AI data center expansion, Bloomberg News reported on Thursday.
Long a smaller “competitor” in the cloud market, Oracle has emerged over the past year as a major player in the computing power rental business, thanks in part to its $300 billion deal with the company OpenAI.
But investors are increasingly worried about how the company would finance the data center expansion needed to serve OpenAI and other customers, including Elon Musk’s xAI and Meta.
In December, the company said it expects capital spending for fiscal 2026 to be $15 billion higher than the $35 billion the company had estimated in its first-quarter earnings release.
The layoffs will impact departments at Oracle and could be implemented as early as this month, the Bloomberg report said, citing people familiar with the matter. Some cuts target jobs…
