After reducing its global workforce by around 21,000 employees during fiscal 2026, with AI adoption cited as one of the factors behind the restructuring, Oracle is now warning investors that the biggest obstacle to AI growth is no longer people. Oracle's latest annual report identifies a growing list of infrastructure risks, including power shortages, GPU constraints, delays in building data centres, regulatory hurdles, and rising energy costs. The company allocated $1.84 billion towards severance and restructuring costs during fiscal 2026, compared with $374 million a year earlier, and reportedly eliminated around 10,000 roles in India, including approximately 1,000 positions at Oracle Financial Software Services. Oracle stated that expanding Oracle Cloud Infrastructure requires substantial investment in computing capacity and warned that factors such as power shortages, GPU shortages, delays in building data centres, construction and permitting delays, supply chain disruptions, increasing energy costs, environmental and data security regulations, grid capacity constraints, shipping disruptions and tariff changes, cybersecurity threats, weak customer adoption, and geopolitical instability could slow or derail its AI ambitions.