Oracle said in filings with regulators that costs related to its “2026 restructuring plan” have now reached about $2.8 billion, the bulk of which relates to severance payments to laid-off employees.
Oracle has so far booked about $2.1 billion in costs related to the program and said the $700 million increase is due to additional actions it expects to take.
The company has been under financial pressure because of heavy costs developing AI data centers for customers such as OpenAI, and earlier this year, in an effort to cut costs, laid off thousands of employees.
Business Insider also reported last month that Oracle is planning another round of layoffs.
Oracle Chief Financial Officer Hillary Maxson cited streamlining and productivity measures as factors helping to reduce costs and preserve the company's profit margins.
Bloomberg reported that as of the end of May Oracle had about 49,000 workers in the U.S. and about 92,000 employees outside the country, a total 21,000 fewer than a year earlier. / ISNA