Tech giant Oracle’s global layoffs hit India hard as company shifts focus to AI

India has emerged as one of the hardest-hit regions in Oracle’s largest global restructuring exercise, with reports suggesting around 12,000 employees in the country have lost their jobs amid the US tech giant’s push into artificial intelligence infrastructure. Globally, the total layoffs could reach 30,000, with another round expected in the coming weeks, leaving employees anxious about their professional futures.

Oracle, headquartered in Austin, Texas, and chaired by billionaire Larry Ellison, confirmed that the cuts are part of broader organisational changes designed to streamline operations and reallocate resources toward AI and cloud computing. Severance packages are reportedly being offered to impacted employees, although some must sign agreements to qualify. The company emphasised that the restructuring aligns with strategic investments in next-generation data centers and AI systems, including a $300 billion deal with OpenAI and plans to raise $50 billion in debt to fund its AI ambitions.

The layoffs have had a profound human impact. Employees in India and other regions shared their experiences on social media, highlighting the suddenness of the news and the uncertainty it created. Hrishikesha Narsha, a group manager in India, wrote on LinkedIn, “After 16 incredible years, my journey with Oracle came to an unexpected end.” Others described colleagues with decades of service suddenly left jobless, scrambling to seek new opportunities and grappling with the emotional toll.

Experts say the move reflects a wider trend across the global tech industry, where more than 70 companies have cut over 40,000 jobs so far this year to redirect resources toward artificial intelligence, automation, and operational efficiency. Analysts also note that while Oracle’s AI investments are substantial, investors remain cautious about the billions of dollars being spent and the potential returns from the strategic shift.

Oracle’s recent layoffs underscore the growing tension in the technology sector between traditional workforce structures and the drive to invest heavily in AI capabilities. For India’s technology professionals, the wave of job cuts highlights both the opportunities and risks associated with the global pivot toward artificial intelligence, signaling a period of uncertainty as the industry undergoes rapid transformation.

US technology giant Oracle has begun laying off thousands of employees as it ramps up spending on artificial intelligence infrastructure, aiming to convince investors that its bold AI strategy will deliver long-term returns.

The Austin, Texas–based company, valued at $420 billion, initiated redundancies on Tuesday, with reports suggesting that roughly 10,000 staff have already been affected. Oracle’s workforce currently numbers around 162,000. The company is chaired by billionaire Larry Ellison, a known ally of Donald Trump and one of the world’s wealthiest individuals, with an estimated net worth of $189 billion.

Michael Shepherd, a senior Oracle manager not impacted by the cuts, confirmed on LinkedIn that the reductions were “significant,” targeting senior engineers, architects, operations leaders, program managers, and technical specialists with expertise in cloud infrastructure, government and sovereign cloud projects, and enterprise-scale systems.

Business Insider reported that the layoffs were communicated via email, which cited “careful consideration of Oracle’s current business needs” as the reason behind the terminations. On Tuesday, Oracle acknowledged the loss of 491 roles among employees working remotely in Washington state and at its Seattle offices.

The layoffs coincide with Oracle’s intensified investment in data centres, critical to developing and operating AI systems—as the company seeks to compete with cloud rivals like Alphabet and Amazon. Its ambitious plans include a $300 billion data centre deal with OpenAI, the creator of ChatGPT, alongside proposals to raise $50 billion in new debt, sparking investor concern over the costs.

In a March regulatory filing, Oracle projected that its 2026 restructuring plan could cost up to $2.1 billion, primarily due to severance and related expenses.

The trend reflects a broader industry shift toward AI, with more than 70 tech companies cutting approximately 40,480 jobs this year, according to Layoffs.fyi, as businesses reallocate resources to AI development and workers face increasing uncertainty.