Oracle May Slash Up To 30,000 Jobs (theregister.com)
(Friday January 30, 2026 @10:30PM (msmash)
from the shape-of-things-to-come dept.)
- Reference: 0180701840
- News link: https://developers.slashdot.org/story/26/01/30/1837226/oracle-may-slash-up-to-30000-jobs
- Source link: https://www.theregister.com/2026/01/29/oracle_td_cowen_note/
An anonymous reader shares a report:
> Oracle [1]could cut up to 30,000 jobs and sell health tech unit Cerner to ease its AI datacenter financing challenges, investment banker TD Cowen has claimed, amid changing sentiment on Big Red's massive build-out plans.
>
> A research note from TD Cowen states that finding equity and debt investors are increasingly questioning how Oracle will finance its datacenter building program to support its $300 billion, five-year contract with OpenAI.
>
> The bank estimates the OpenAI deal alone is going to require $156 billion in capital spending. Last year, when Big Red raised its capex forecasts for 2026 by $15 billion to $50 billion, it spooked some investors. This year, "both equity and debt investors have raised questions about Oracle's ability to finance this build-out as demonstrated by widening of Oracle credit default swap (CDS) spreads and pressure on Oracle stock/bonds," the research note adds.
[1] https://www.theregister.com/2026/01/29/oracle_td_cowen_note/
> Oracle [1]could cut up to 30,000 jobs and sell health tech unit Cerner to ease its AI datacenter financing challenges, investment banker TD Cowen has claimed, amid changing sentiment on Big Red's massive build-out plans.
>
> A research note from TD Cowen states that finding equity and debt investors are increasingly questioning how Oracle will finance its datacenter building program to support its $300 billion, five-year contract with OpenAI.
>
> The bank estimates the OpenAI deal alone is going to require $156 billion in capital spending. Last year, when Big Red raised its capex forecasts for 2026 by $15 billion to $50 billion, it spooked some investors. This year, "both equity and debt investors have raised questions about Oracle's ability to finance this build-out as demonstrated by widening of Oracle credit default swap (CDS) spreads and pressure on Oracle stock/bonds," the research note adds.
[1] https://www.theregister.com/2026/01/29/oracle_td_cowen_note/
Burn in Hell (Score:1)
by lundqvist ( 1070102 )
Oracle is going to end up with the icky end of the stick when AI collapses.
Re: (Score:3)
by sg_oneill ( 159032 )
Couldnt happen to a nicer company.
But its not lost on me that we're at a point in society that to build these infernally stupid AI rollouts people are finding savings by slashing health tech infrstructure*
"But AI will save us all".
*Oracle is everywhere in hospitals. They do a lot of stuff with hospital infrastructure software. And yeah, its the usual Oracle fare, overly expensive, underpowered, and if you try and replace it, they'll sue.
What do you expect from Whoracle? (Score:3)
by BrendaEM ( 871664 )
Cannot squeeze virtual from crap.
Re: Post AI crash data center glut (Score:2)
My future pool and spa chain of stores is just waiting to capitalize on these AI data centers going bust!