Microsoft Announces Major Layoffs of 3% Workforce Despite Profit Boom
Redmond, Washington: Tech giant Microsoft will cut about 6,500 jobs—3% of its global staff—in its largest round of layoffs since 2023. Surprising many, the company recently posted strong profits, leading analysts to question the timing. CEO Satya Nadella said they are “removing organizational layers” to stay agile and pivot toward AI innovation. Impacted roles span engineering, marketing, and sales. Laid-off workers share shock on social media, with some noting they had solid performance reviews. Microsoft says severance packages remain “competitive,” and it plans to reallocate resources toward cloud and AI projects.
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Key Entities
- • Microsoft: A global leader in software, cloud services, gaming, and AI, known for major acquisitions like LinkedIn and GitHub.
- • CEO Satya Nadella: Leading the firm’s focus on AI, seeking a leaner structure despite robust financials.
- • Affected employees: Thousands losing roles worldwide, including some in senior positions.
- • Big Tech sector: Continues cyclical layoffs even with strong revenue, reflecting strategic reorganizations.
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