The dismissals will primarily come from Oracle's local research and development base of 1,600 employees, the reports said. The Beijing location will terminate 500 staff, a move seen as a step toward shutting down the center completely, according to Chinese media.
Oracle did not deny or confirm the reports, but said in a statement to CNBC that: "As our cloud business grows, we will continually balance our resources and restructure our development group to help ensure we deliver the best cloud services to our customers in China."
It was not immediately clear why the company was making the cuts. Guangzhou-based 21st Century Business Herald cited Oracle's Asia Pacific human resources head as saying the departures are the result of company-wide restructuring, which will be global. The news site added that workers in cloud computing were among the first batch of layoffs in China.
Asia Pacific accounts for about 16% of Oracle's total revenues.
Shares of Oracle closed 1.55% lower in New York trading Tuesday.