Microsoft have announced plans to cut a further 10,000 jobs – a shade under 5% of their total workforce. As with previous rounds of job cuts, Satya Nadella has stated they’ll continue to hire in other “key strategic areas” likely including AI and platforms.
Microsoft will see $1.2 billion in charges in Q2 from these layoffs and also “changes to [the] hardware portfolio”.
This is part of a wider trend of layoffs across the industry recently including:
- Alphabet = 12,000
- Amazon = 18,000
Salesforce = 8,000
Meta = 11,000
as the tech industry boom comes to a halt and companies look to re-focus and prioritise. Google have said that they expanded to quickly during the pandemic and now need to rationalise their workforce.
It will be interesting to see which areas within Microsoft see the brunt of these cuts, as that will really give insight into how they’re reshaping their business.
I wish everyone affected by this the best of luck.