One of the first things that "progressive" politicians should do if they take power is require large companies to disclose the exact number of firings before people are notified.
"Even if an employer does not have a collective agreement, they must negotiate major changes to working and employment conditions of employees who are members of a trade union as if the employer had a collective agreement."
Negotiations include getting the lists of positions that will be terminated, number of employees affected, new positions that may be opened during a reorganization, etc.
This, the company stays compliant with all the regulations but they don’t have to worry about disaffected employees during those 60 days.
That means they can't borrow cheaply anymore. The only way to raise cash now is to cut payroll, and that's what they are doing. And what are they doing with the cash? Buying Nvidia hardware to rent out to OpenAI [2].
All Oracle is doing is unpacking Nvidia servers and plugging them in. This is a commodity business, Oracle has no IP in this. To fund it they are making deep cuts to their software development business which does have proprietary IP.
That may have made sense when it was originally announced because AI hype was at its peak at the time. Indeed, Oracle's stock shot up when Stargate was announced, and Larry Ellison briefly became the world's richest person. However, since then the AI hype has evaporated, and hyperscalers are no longer being rewarded with a higher stock price. Oracle stock has dropped more than 50%, and companies NOT investing 100s of billions in AI hardware are now being rewarded, such as Apple.
[1] https://www.nytimes.com/2026/07/31/magazine/takeaways-larry-...
What? Nvidia stock, for instance has been moving largely sideways for the past 4 months. Maybe it's not as jubilant as before, but it hasn't exactly "evaporated".
Oracle is in a spiral it seems. Is Stargate still plugging along?
rf15•56m ago
Makes me wonder why they're shedding so much and if Zitron was a little right after all.
bix6•51m ago
ramesh31•32m ago
...First time?
Oracle is literally the company Dilbert was making fun of
aaronbrethorst•18m ago
https://en.wikipedia.org/wiki/Scott_Adams
usrnm•32m ago
13% doesn't seem too different from other tech companies
dyauspitr•32m ago
shawn_w•15m ago
doubled112•3m ago
Beatings shall continue until morale improves.
Ekaros•29m ago