Oracle may be facing one of the biggest layoffs in its history. The major tech firm plans to slash as many as 30000 jobs following financial struggles linked to building out its artificial intelligence (AI) data centres. US Banks Won’t Finance Oracle’s AI Expansion Plans: According to sources familiar with the matter reported by CNBC and other outlets several large US banks recently declined financing for Oracle’s new AI data centre expansions due to concerns about the amount of capital expenditures needed to fuel growth. Oracle’s Lenders Concern Equity Investors Several large debt and equity investors are said to be rattled by lenders backing away from financing Oracle’s AI expansion. As capital for Oracle becomes harder to come by sources say executives are considering major cost-cutting measures. These include the impending layoffs of between 20000 to 30000 workers worldwide - approximately 10% of Oracle’s workforce. Biggest AI Push Among Cloud Giants Called Into Question Oracle has been ramping up its AI investments over the past year. This includes multi-billion dollar infrastructure commitments related to AI-focused partnerships with other major tech firms like OpenAI. Analysts believe Oracle will need to spend over $150 billion on capital expenditures if they want to meet growth projections associated with these projects. However recent bank lender backing away from financing Oracle’s AI push has left investors questioning how the company will pay for this expansion. Analysts speculate that layoffs will save Oracle $8-$10 billion which could be redirected towards AI and cloud computing investments. Oracle May Sell Business Units & Layoff Up To 30000 Workers Oracle isn’t just looking at layoffs to cut costs. Other measures being considered include offloading divisions of the company. For example Oracle is said to be looking to sell off its cloud-based healthcare software business. This division was acquired by Oracle in 2022 for $28.3 billion. By selling off parts of the business Oracle hopes to alleviate financial pressure while boosting cash reserves. Oracle Could Ask Customers to Buy Own Hardware The tech giant is also considering allowing customers to “bring your own chip” or buy parts of their own hardware. This will allow Oracle to reduce infrastructure costs and minimise capital expenses. Biggest Tech Layoffs In 2026 Oracle isn’t the only major tech firm planning layoffs. Companies across the tech sector are preparing to lay off thousands of workers this year as they brace for the rising costs of building out AI technologies. As recently as December Microsoft announced plans to layoff around 10000 workers. Whether or not these layoffs happen Oracle has yet to announce any cuts officially. Shares of Oracle fell around 3% on the news that layoffs are being considered.