Cerner

History

2023: Several thousand job cuts

On May 16, 2023, it became known that Oracle Corporation, as part of a comprehensive restructuring, will reduce several thousand jobs in the Cerner division, which is engaged in the creation of specialized software for medical institutions.

Having absorbed Cerner in 2021 for almost $30 billion, Oracle has expanded its staff by approximately 28 thousand employees on a global scale. However, in the current macroeconomic environment, in the context of the crisis and market uncertainties, the corporation is forced to optimize its business structure. And this will lead to a decrease in the headcount of Cerner by more than 3,000 people. Thus, the number of employees of this organization will be reduced by more than 10%.

Oracle is cutting thousands of jobs in a medical software developer it bought for $30 billion

The layoffs will affect all of Cerner's teams, including marketing and development staff, accountants, lawyers and product specialists, it said. In addition, Oracle warned staff that no pay increases should be expected during 2023. Serious changes in terms of career advancement will also not be carried out.

The reduction of Cerner workers is part of a broader restructuring in Oracle Health's healthcare solutions group. Oracle CEO Safra Katz said the company is committed to making Oracle Health a success. However, as market participants note, the layoffs indicate that the corporation is facing serious problems in achieving its goals. It is also noted that the news of the decrease in the number of personnel was met with dissatisfaction and disappointment from Cerner employees. As one former leader of this organization noted, "people are scared and angry" and "they do not know what awaits them in the future."^[1]

2021: Oracle buys company for $28.3 billion

In December 2021, it was announced that the corporate giant software Oracle had agreed on the largest deal in its history: it buys Cerner, which creates software for medical organizations, as part of a deal at a price of $95 per share, which is approximately $28.3 billion.

The deal, which is expected to close in the 2022 calendar year, could help Oracle strengthen its healthcare presence by attracting a large amount of medical data to its cloud services.

2020: Buying consultancy Kantar Health

In mid-December 2020, the developer of the ERP system for medicine Cerner bought the consulting company Kantar Health (part of the Kantar group) for $375 million. The buyer plans to use the information obtained as part of the transaction to improve the safety, effectiveness and effectiveness of clinical research in pharmaceuticals and healthcare in general. Read more here.

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