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lite.cnn.com - on gopher - inofficial |
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ARTICLE VIEW: |
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2 min read |
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Microsoft to lay off around 9,000 workers in its largest cuts since |
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2023 |
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By Clare Duffy, CNN |
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Updated: |
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11:45 AM EDT, Wed July 2, 2025 |
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Source: CNN |
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Microsoft is laying off thousands of employees, its third round of cuts |
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in recent months, the company confirmed on Wednesday. |
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The staff reduction will affect less than 4% of the company’s total |
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workforce, or around 9,000 workers, according to a company |
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spokesperson. It marks the tech giant’s largest layoffs since it cut |
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10,000 employees in 2023 and comes amid workforce cuts elsewhere in the |
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tech industry. |
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Microsoft’s stock was unchanged following the announcement. |
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“We continue to implement organizational changes necessary to best |
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position the company and teams for success in a dynamic marketplace,” |
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a Microsoft spokesperson said in a statement, adding that the company |
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is reducing managerial layers and making employees more productive with |
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new technologies. |
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The staff reduction also comes as tech companies, including Microsoft, |
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are using artificial intelligence to make their workforce more |
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efficient. Microsoft CEO Satya Nadella that 20% to 30% of the |
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company’s code was being generated by AI, and the company is pouring |
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billions into AI infrastructure investments. |
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It’s unclear whether AI directly contributed to Wednesday’s cuts |
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and which Microsoft divisions will be affected. that Xbox leader Phil |
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Spencer sent an internal note saying that his staff would be affected. |
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Bloomberg also previously that the planned July layoffs would target |
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the sales and Xbox teams. |
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Wednesday’s cuts come after Microsoft , roughly 7,000 employees, in |
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May. |
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As of July 2024, the last time Microsoft formally reported its total |
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headcount, the company employed 228,000 workers. |
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Other tech companies have also conducted layoffs this year, including |
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and . Amazon CEO Andy Jassy also last month that AI would eventually |
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help the company reduce headcount. |
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Microsoft that its quarterly profits had increased 18% to $25.8 |
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billion during the three months ended March 31, on the back of strong |
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performance for its cloud business and AI services. The company is |
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expected to release earnings for its fiscal fourth quarter later this |
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month. |
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