Oracle plans to cut over 250 jobs in Bay Area in latest layoff round

Oracle is cutting more than 250 jobs across its San Francisco Bay Area operations, the latest sign of cost pressure and restructuring at the US software giant as it recalibrates spending in cloud and artificial intelligence businesses.

The layoffs will affect 254 positions across Oracle facilities in Redwood City, Pleasanton and Santa Clara, according to filings submitted to California authorities under the Worker Adjustment and Retraining Notification process, local media reported on Tuesday.

Redwood City, which hosts one of Oracle’s largest Bay Area campuses, will see the deepest cuts, with 187 roles eliminated, while 36 jobs will be cut in Pleasanton and 31 in Santa Clara, the filings showed. The affected roles span teams linked to Oracle Cloud Infrastructure (OCI) as well as AI and machine learning projects.

The job reductions form part of a broader cost-cutting effort as Oracle reviews staffing levels amid shifting demand and rising competition in the cloud market, where it faces entrenched rivals such as Amazon Web Services and Microsoft Azure.

The cuts in California also follow a wider pattern of workforce reductions at large US technology firms, many of which are seeking to fund heavy investment in generative AI while controlling operating costs. The Wall Street Journal has previously reported that Oracle has been tightening spending across parts of its cloud and enterprise software businesses.

Under US labour rules, WARN filings require companies to give advance notice of large layoffs, typically 60 days, allowing affected employees time to prepare for job transitions. The filings indicate that the latest Oracle job cuts are expected to take effect in the coming weeks.

Oracle has not publicly commented in detail on the Bay Area reductions, but the restructuring underscores the difficult balance facing enterprise technology companies: sustaining investment in high-growth areas such as AI while managing headcount in mature or slower-growing units.