Oracle shrinks its Cloud Division

Months after Oracle announced other job cuts, which included employees in the US, southern Europe, and parts of the EMEA region. Oracle Corporation has initiated another significant round of layoffs, with its Oracle Cloud Infrastructure (OCI) vertical among the hardest hit.

Industry speculates that Oracle is reportedly downsizing its cloud division in a strategic effort to streamline operations and refocus resources within its cloud infrastructure business. This restructuring may involve shifting priorities to the key growth areas and enhancing cloud service capabilities, likely as part of Oracle’s broader plan to improve efficiency in a highly competitive cloud market.

Oracle’s recent move aimed to streamline its cloud division highlights its focus on enhancing performance and competitiveness in the cloud market, especially against leaders like AWS, Microsoft Azure, and Google Cloud. But, some reports suggest that Oracle may be restructuring to reduce U.S.-based sponsored roles for international employees, reallocating these positions to lower-cost regions such as India. This shift could be influenced by economic pressures and heightened regulatory scrutiny in the lead-up to the U.S. presidential election, impacting strategic decisions across the tech industry.

Numerous online reports have also surfaced suggesting that the layoffs are primarily impacting US-based employees, with additional reports stating that even marketing personnel are getting affected.

Overall people are expressing their shocks over such cuts. Some people claiming to be Oracle employees are commenting, "The company is trying to cut premium paid employees and replace them with lower-cost hires." Another alleges that this is how Intel killed itself.