Oracle Lifts Restructuring Cost to $2.8 Billion as Ellison Scraps $7.5 Billion Stock Sale
Updated
Updated · CTech · Sep 14
Oracle Lifts Restructuring Cost to $2.8 Billion as Ellison Scraps $7.5 Billion Stock Sale
3 articles · Updated · CTech · Sep 14
Summary
$700 million in added charges lifted Oracle’s fiscal 2026 restructuring bill to about $2.8 billion, extending layoffs the company says are partly tied to AI adoption.
Oracle had already cut about 21,000 jobs—roughly 13% of its workforce—across R&D, sales, cloud, hardware and administrative functions as it redirects spending toward AI infrastructure.
Larry Ellison then canceled a plan to sell 50 million Oracle shares worth about $7.5 billion; Oracle said no shares were sold and gave no reason for the reversal.
The move comes as investors question how Oracle will fund tens of billions in AI expansion after reporting negative free cash flow of $5.4 billion, despite a $664 billion backlog.
Oracle shares rose as much as 7.8% after earnings before closing about 2% lower Friday, and the stock is down about 23% this year versus the S&P 500’s nearly 12% gain.