Oracle cut 21,000 positions, representing approximately 13% of its global workforce, bringing the total cost of its restructuring plan to $2.8 billion. The company’s capital expenditures surged 162% to $55.7 billion in fiscal 2026, driven almost entirely by data center construction for AI workloads, resulting in a free cash flow deficit of approximately $23.7 billion. Oracle has secured an AI cloud contract backlog of $664 billion and guided for capital spending of approximately $70 billion in the current fiscal year. The job cuts primarily affected Oracle Health, legacy SaaS divisions, and revenue teams, while cloud and AI roles remained largely intact.
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