Oracle fires 21,000 and replaces 13% of employees with AI: shares fall 23%

Oracle has eliminated 21,000 jobs in the last year, equivalent to 13% of its global workforce, and is replacing these positions with artificial intelligence systems, as reported by Tikr. The announcement caused a 23% drop in the value of the company's shares in the month, while investors assess the risks and benefits of large-scale automation.

Why does Oracle fire 21,000 employees to adopt AI?

Oracle, like other technology giants, seeks to reduce operational costs and increase efficiency. The replacement of repetitive and administrative functions with AI allows the company to operate with a leaner structure. The decision is not isolated: companies such as Microsoft and Google have also adopted similar cuts, but Oracle stands out for the significant volume of layoffs in relation to its total picture.

How does artificial intelligence replace 13% of Oracle's picture?

Oracle is implementing generational AI systems and robotic automation for tasks such as customer service, data processing, cloud infrastructure management and basic technical support. Technology can perform these functions 24 hours a day, without human errors and at a significantly lower cost. The company claims that AI also releases human talents for more strategic activities, although the cuts indicate otherwise.

23% drop in shares: what the market reveals about mass dismissal

The market reacted negatively, interpreting restructuring as a sign that Oracle may be sacrificing innovation and talent in exchange for short-term gains. Investors fear that excessive automation compromises the company's ability to adapt to new demands. However, Oracle maintains that AI is essential to compete with rivals such as AWS and Microsoft Azure.

Oracle's mass resignation: impact for technology professionals in Brazil

The AI substitution trend is not limited to the US. In Brazil, professionals from areas such as data analysis, technical support and system administration should prepare for a market where automation will be increasingly common. Oracle is not the only one to adopt this strategy: The Pentagon recently launched an AI capable of generating military target options in seconds, showing how automation advances in strategic sectors. Pentagon launches AI that generates military target options in seconds. For Brazilian professionals, the recommendation is to invest in complementary AI skills, such as critical thinking, creativity and project management.

Frequently Asked Questions about Oracle's mass resignation

Is Oracle going to keep firing employees to replace with AI?

Oracle has not announced official plans for further cuts, but the continuing automation strategy suggests that more functions can be eliminated as technology advances.

Which sectors within Oracle were most affected?

The company did not detail the distribution of the cuts, but sector analyses indicate that administrative departments, technical support and cloud operations are the most susceptible to automation.

How are the employees being treated?

Oracle has offered compensation packages, but there is no information about internal requalification or relocation programs. Most affected should seek new opportunities in the market.