Oracle plans to lay off thousands of people due to the sharp increase in costs caused by the expansion of its AI data center.

According to reports, Oracle has made significant investments in AI data center infrastructure, including a $30 billion agreement with OpenAI and providing computing power for clients like xAI and Meta, leading to financial pressure for the company. Oracle is expected to begin layoffs as early as this month, affecting the entire company. This week, internal announcements have been made to suspend or slow down recruitment in the cloud department. Oracle will release its third-quarter financial report next Tuesday.