Microsoft Announces 6,500 Layoffs Despite Solid Earnings

Redmond, WA, USA: Microsoft is cutting roughly 6,500 jobs worldwide—about 3% of its workforce—citing the need to realign resources across various product lines. The announcement comes amid an industry-wide trend of big tech downsizing staff after rapid expansions during the pandemic. CEO Satya Nadella expressed appreciation for affected employees, indicating Microsoft’s financial position remains strong despite the move. Analysts believe the restructuring aims to sharpen focus on artificial intelligence, cloud services, and productivity tools. Critics, however, question why layoffs are necessary if profits and revenues remain solid, suggesting a drive for even higher margins or strategic pivots.