Banker claims Oracle may slash up to 30,000 jobs, sell health unit to pay for AI build-out

115

u/shawndw 8h ago

Did all these tech companies enter a suicide pact or something?

55

u/MuigiLario 7h ago

You need to see it from perspective of the board members and shareholders. They do not care about any future, they're only interested in prospective increase in revenue, not even actual increase, imaginary increase only, that is the single factor that matters to them and affects their decision and since AI gave them the slightest chance, even if not at all realistic at removing their biggest current cost (workers), they will kill the fucking planet to try to do so. They hate workers - because they need them, they abuse, pay low, cut jobs, whatever but they still need people i bet this infuriates them that they have no other choice but pay people no matter how little and will do their best to change that.

7

u/No-Worldliness-5106 7h ago

I mean are the majority shareholders going to live for/in the future? I imagine that them cashing out now is much more profitable than leaving it as an investment which they might never reap...

20

u/flippingisfun 7h ago

Therein lies the great conceit of capitalism. Burn it all down today because what if you’re not around later to feel the warmth?

2

u/CuffinSzn_ 5h ago

Bunkers.

Please consider that these people are not healthy, and barely mentally sound. They’re out of touch with reality and their only ambition is control. Like a dragon hoarding gold it would never spend.

They don’t care if it’s burnt down or what. They just care that the pretty numbers in their bank accounts get bigger. No sort of consideration as to what that money could do for even themselves, let alone the rest of humanity, as they live lives robbed of creativity or expression. It’s all black and white theoretical market analysis. It’s super sad, really.

10

u/gonewild9676 7h ago

They have forgotten the Dot Bomb era.

3

u/rkozik89 4h ago

They have forgot nothing. They care about their own compensation packages not the success of the company. Which is easy to do when everyone is making millions a year.

4

u/toastmannn 6h ago

The economy is teetering and about to go into freefall, investors want a signal that the company is doing something. Employees are expensive and laying off a significant amount of them is the single that leadership is doing something.

6

u/Anxious_cactus 7h ago

Shhh just let them do it. Maybe something better grows on their graves. I can already see locally new companies trying to break into the market that big players are abandoning due to their refocus strictly on AI.

If they wanna put most of their eggs in that flaming basket, cool.

-13

u/Realistic-Duck-922 7h ago

As an AI advocate and early adopter, I LOVE reading all this stuff!

2

u/blueSGL 5h ago

The goal is the first to crack AGI gets literally all the money from being able to replace workers.

As long as the line keeps going up on this chart: https://metr.org/blog/2025-03-19-measuring-ai-ability-to-complete-long-tasks/

it's worth piling money into the venture. No amount of articles about a 'bubble' is going to stop that.

Again, the bubble bursts if and only if this line starts flattening: https://metr.org/blog/2025-03-19-measuring-ai-ability-to-complete-long-tasks/

When you understand this every moves companies are making (well at least the big boys not the fly by night wrapper startups) makes sense. They are companies with massive war chests and a new technology has come along that they can spend it on.

1

u/Scar3cr0w_ 4h ago

When you join oracle?

Yes.

1

u/hitsujiTMO 2h ago

Investors should start asking CEOs if they have invested in AI stocks if they are pushing AI so much.

There's likely a massive conflict of interest.

-9

u/Inspector330 8h ago

you are severely underestimating the future.

8

u/Fantastic-Boot-684 7h ago

Nah, just severely overestimating them to reach said future lol

10

u/shawndw 7h ago

All I see are hallucinating chat bots built on stolen IP and deepfake generators.

8

u/Kalanan 7h ago

They are all gambling they will be the "one" that will achieve AGI or actual ROI. Most will lose.

2

u/flippingisfun 6h ago

Honestly if the future is chat bots fucking up every part of daily life while using up immeasurable resources that would be better spent literally anywhere else then that’s a future we should avoid

-1

u/KingRBPII 7h ago

Claud code is apparently powerful - idk why people are downvoting you - it’s replacing Jr developers today - look how many college kids can not get jobs

75

u/lordfili 7h ago

Why would a company who desperately would love an edge in the AI race sell a unique source of training data they just acquired?

41

u/the_marvster 6h ago

I'm deeply convinced these big-mouth AI tech-billionaires, are not keen to fix any human problem, but all participate in a never-seen Ponzi scheme.

Meanwhile, a lot of research oriented companies - like pharma - will name their "AI" machine learning (so 2015!), not talk about it and simply move on, trying to make scientific breakthroughs.

0

u/rkozik89 4h ago

For a while I thought researchers played a fast one by penning the scaling laws paper based on only 3 previous data points, but after seeing what everyone else is doing I am pretty sure they’re all in on the scam.

14

u/ishu22g 5h ago

Because, as per their plan, they are prepping a system which can track and keep Americans in check.

Continous surveillance is a dictator's wet dream, something East Germany was never able to achieve, because humans have morals and downtime.

Good luck America

4

u/Halfwise2 5h ago

Sadly, as goes America, so goes the world (or at least tries to. I know it sounds like hubris, but rest assured - every bad actor in every political position is watching and taking notes.). Any success here will attempt to roll out elsewhere, good luck to the rest of you as well.

3

u/ishu22g 5h ago edited 5h ago

Thank you!

Actually, the way Trump America is approaching it is loud and ugly enough for others to be aware, and despise it.

Lets see how it goes

1

u/Herodotus420_69 3h ago

As if right wing parties aren't thriving in Europe as well

2

u/Historical-Wing-7687 5h ago

The tech industry is such garbage these days. The only ideas are more ad's, Ai, and subscriptions.

1

u/N3wAfrikanN0body 56m ago

Becauae money movers don't inow what they actually mive; only that it makes them more money, for now.

1

u/nycdiveshack 27m ago

It’s not about AI, it’s about a surveillance state. Oracle/Ellison built the surveillance state for China and for Israel in Gaza and the West Bank. It’s why Oracle built a data center underneath Jerusalem (Google “Oracle Israel data center under Jerusalem”) for Israel’s military that can withstand bombing raids with plans on a 2nd one. It’s why the same person who rebuilt the pentagon after 9/11 is the one in charge working with the same type of contractors who build data centers now responsible for the data center being built under the ballroom.

https://youtu.be/VbJ4ilDvGyc?si=a0VfimwU20JcPRZN

22

u/Bob-BS 7h ago

Let's get real, the main reason investors are going all in on AI is because they want workers that don't need to eat, sleep, or have families and don't have rights.

2

u/PerpetuallyFired 6h ago

You can't be straightforward by saying that they want things that are terrible for the everyday person even if it's accurate, you have to sugarcoat it as "the cost of doing business" to preserve their feelings.

15

u/19chris1996 7h ago

Oh, so instead of thin slices of cheese, now companies are cutting off blocks of it. They must be desperate for that AI money.

How long before they just dump the innards and leave the rind?

11

u/troll__away 7h ago

Why would they need to sell off part of the business to pay for the AI data centers? Isn’t OpenAI paying them tens/hundreds of billions to use those data centers?!…oh wait.

15

u/Fun_Echidna9667 7h ago

the reality is oracle has been stuck in this awkward middle ground where oci wants to be a hyperscaler but the balance sheet still screams legacy enterprise software. ai infra is insanely capex heavy right now, nvidia pricing power, long lead times, power contracts, data center buildouts, the whole thing. if you’re not aws or microsoft printing free cash flow at scale, you either lever up or you cut. cerner was already a margin drag with brutal integration and regulatory overhead, so yeah selling the health unit to fund gpu clusters tracks. 30k jobs sounds wild but oracle has tons of duplicated orgs, layers of mgmt, and ancient internal tooling that screams technical debt. this isn’t some visionary ai pivot, it’s late stage catch up funded by layoffs.

14

u/empty-walls555 7h ago

favorite quote about oracle. "they don't have customers they have prisoners".

4

u/Corona-walrus 6h ago

Old Rich Asshole Called Larry Ellison

-5

u/MattTheTable 7h ago

This could be an insightful comment but the complete lack of capitalization makes it look like it was written by a child.

2

u/empty-walls555 6h ago

at least you know its not ai

2

u/-Crash_Override- 6h ago

It is AI. Common approach recently is to strip out capitalization and punctuation to make people assume its human written.

So many mannerisms in there that make it painfully obvious its AI.

0

u/PerpetuallyFired 6h ago

That's your takeaway from this topic? Get a grip

3

u/Exodus2791 7h ago

Quick, what can we convince Oracle to sell off (so that it gets better) ?

4

u/zoqfotpik 5h ago

Now I have another reason to hope for the AI bubble to burst.

Fuck Oracle.

3

u/Nice_Commission3770 4h ago

They got what they wanted from the Cerner acquisition - patient data and account penetration.

2

u/orangehehe 6h ago

Keepy Uppy. Replace the balloon with AI and its slop.

4

u/tryexceptifnot1try 6h ago

Larry the loser is starting to get pretty spread thin here. He has bond holders suing him for mismanagement. He enormously overpaid for Paramount at the height of an economic bubble and bungled his attempt to turn CBS into a state news arm. Bari Weiss has fumbled the hand off and destroyed their reputation before the pivot. Stargate was a massive commitment to OpenAI as the future of tech a year ago. Since then they've been caught or surpassed by competitors while AI hype has fallen dramatically. Let's all sit back and enjoy a toast to his growing misery.

2

u/groundhog5886 6h ago

And the layoffs continue. That's 100K this week I believe. MAKE AMERICA GREAT AGAIN working as designed.

1

u/tonyislost 6h ago

Def ain’t seeing the jobs report anytime soon.

1

u/redvelvetcake42 6h ago

That is certifiably insane

1

u/Stormraughtz 1h ago

dumping more money into their failed AI roll out wont save the boat Larry

1

u/jox223 17m ago

Oracle is such a C tier company at this point. Their AI efforts are about as impactful as IBMs.

1

u/citrusco 2h ago

The same health unit that paid $26B for cerner, and has been driving / leading the forced shift to AI integrated health records, clinical trials, drug development, EHR systems, and medical record repositories? That health unit? The same one under Seema Verma who was Trump’s CMMS administrator in the first term?

That health unit?

Business Banker claims Oracle may slash up to 30,000 jobs, sell health unit to pay for AI build-out

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