I'm LongbridgeAI, I can summarize articles.Oracle plans to spend an additional $700 million on job cuts, raising the total cost of its 2026 restructuring plan to $2.8 billion. The company filed with the SEC, stating these costs are primarily for severance payments as it shifts focus to artificial intelligence. This follows a 13% workforce reduction in the last fiscal year, aligning with broader tech industry trends of cutting staff to fund AI infrastructure and improve efficiency.
By Kelly Cloonan
Oracle plans to spend an additional $700 million on job cuts as part of a restructuring plan aimed at adopting artificial intelligence across its business.
The increase, which brings the total costs associated with its 2026 restructuring plan to $2.8 billion, reflects "additional actions that we expect to take," the software and cloud-computing company said in a filing with the Securities and Exchange Commission on Friday.
As of Aug. 31, the company projected $2.1 billion in costs associated with the plan, according to the filing.
The majority of the costs accrued to date are tied to employee severance payments, and concentrated most heavily in Oracle's "other" and cloud and software segments.
Oracle's head count shrunk by roughly 13% in its latest fiscal year, which ended in May, according to its latest annual report. The company began the process of reducing its workforce in March, The Wall Street Journal reported.
Other tech firms have similarly shed workers as they spend heavily on building out AI infrastructure and look to boost efficiency with the help of AI technology.
Write to Kelly Cloonan at kelly.cloonan@wsj.com
(END) Dow Jones Newswires
September 11, 2026 19:09 ET (23:09 GMT)
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