Rohan Paul(@rohanpaul_ai):Oracle is reportedly preparing more layoffs as AI-driven cloud expansion pushes free cash flow negative. Business Insider reports some parts of the company could lose double-digit percentages of staff, with payroll reductions targeted before September 1. The plans follow a drop from 162,000 to 141,000 employees. Oracle spent $55.7B on capital expenditures against $32.0B of operating cash flow, leaving free cash flow at negative $23.7 B. It raised $43B in debt and $5B in equity during fiscal 2026, and expects roughly $40B more financing in fiscal 2027. However, that capex burden accompanies rapid growth, with total revenue rising 17% and cloud infrastructure revenue climbing 77%.

2026.08.11 23:16

Oracle is reportedly preparing more layoffs as AI-driven cloud expansion pushes free cash flow negative. Business Insider reports some parts of the company could lose double-digit percentages of staff, with payroll reductions targeted before September 1. The plans follow a drop from 162,000 to 141,000 employees. Oracle spent $55.7B on capital expenditures against $32.0B of operating cash flow, leaving free cash flow at negative $23.7 B. It raised $43B in debt and $5B in equity during fiscal 2026, and expects roughly $40B more financing in fiscal 2027. However, that capex burden accompanies rapid growth, with total revenue rising 17% and cloud infrastructure revenue climbing 77%.