Oracle is considering a major cost-cutting exercise. The cuts could lead to thousands of employees losing their jobs. The acquisition of Cerner for over €27 billion ($28 billion) and major investments in TikTok play a role.
According to a report in The Information, the tech and cloud giant is reviewing ways to save roughly €998 million ($1 billion). The cuts are necessary to accommodate the acquisition of Cerner, a major healthcare technology company acquired for over €27 billion euros ($28 billion). Cerner comes with 28,000 employees. Furthermore, Oracle is investing large sums in TikTok.
Thousands of redundancies
According to an unnamed Oracle spokesperson, the plan could lead to thousands of job cuts in August. Employees in the United States and Europe are at particular risk. Most of the cuts are expected in Oracle’s customer service, marketing and e-commerce departments.
Furthermore, The Information expects several management changes. Ariel Kelman (CMO) and Juergen Lindner (VP of marketing for SaaS) are said to be leaving. Oracle hasn’t commented on the rumours at the time of writing.
Tip: Oracle receives approval for €26 billion Cerner acquisition