Global technology companies have collectively announced 1,63,427 layoffs since January 2026, with artificial intelligence cited as a contributing factor in 91,215 of those job cuts, according to a new report by TradingPlatforms. The figures mark a significant acceleration in workforce reductions across the global tech sector, with the trend cutting across cloud computing, e-commerce, IT services, and enterprise software.

Which Subsectors Were Hit Hardest

Cloud and SaaS recorded the highest number of layoffs at 37,492, followed by e-commerce and marketplaces (22,633), IT services (16,756), and social media (13,592). Enterprise software ranked fifth, accounting for roughly 8.14 per cent of total cuts — translating to 13,308 job losses globally.

Of those enterprise software layoffs, 88.6 per cent — or 11,792 positions — occurred at US-based companies, underlining America's outsized role in the ongoing tech contraction.

Oracle, Cisco, and Monday.com Lead the Cuts

No company has shed jobs more aggressively in 2026 than Oracle, which has eliminated 25,254 roles across multiple rounds since January. While Oracle had begun trimming headcount toward the end of 2025, the scale escalated sharply in March 2026, when thousands of employees across the United States, India, Canada, and Mexico were let go in a sudden wave.

Among US-based enterprise software companies, Cisco recorded the largest single-company layoff count at 4,000 positions, followed by Amdocs with 2,900 and Autodesk with 1,000. Cisco said the roughly $1 billion in restructuring costs from these cuts would be redirected toward its AI strategy.

On 22 July, Israeli workplace software maker Monday.com announced plans to cut approximately 20 per cent of its global workforce — around 620 employees — as it restructured around its AI Work Platform. Israel ranks second globally in enterprise software layoffs outside the US, with 660 job cuts across two companies.

Canada's information management software firm OpenText announced in July 2026 that it had reduced its global workforce by roughly 2 per cent, or around 400 employees, as part of what it described as 'ongoing organisational planning'. The company said the impact on its Kitchener-Waterloo-based Canadian workforce was minimal.

Markets Reward the Pivot to AI

Investors have largely responded positively to these restructuring announcements. Cisco's shares jumped 17 per cent in after-hours trading following its cuts, Monday.com's rose 2.3 per cent, and ServiceNow's climbed roughly 9 per cent over the following week. Notably, ServiceNow's layoffs coincided with a separate milestone: its AI portfolio crossing $1 billion in annual contract value.

Stanislava Savisheva, analyst at TradingPlatforms, argued that market sentiment has fundamentally shifted in how it interprets mass job cuts. 'The message from markets is increasingly clear: massive waves of layoffs are now seen as a sign of discipline, as long as the story is some kind of pivot toward AI. Fewer employees, framed the right way, now reads as a stronger business, with its priorities straight,' Savisheva said.

Asia and the Middle East Also Affected

Beyond the US, workforce reductions in Asia and the Middle East are spread across key innovation hubs. Israel leads in the region for enterprise software cuts, while India and Singapore also figure among the most affected. The cuts in these markets span AI startups, e-commerce platforms, and cybersecurity firms, reflecting the breadth of the global correction.

With AI adoption accelerating and investors signalling clear approval for leaner headcounts tied to technology pivots, further workforce reductions across the sector appear likely through the remainder of 2026.