Microsoft Layoffs 2025 Microsoft Layoffs may 2025 Microsoft Layoffs programmers because of ai Microsoft layoff 6000 employees Microsoft lays off employees
In May 2025, Microsoft announced the layoff of approximately 6,000 employees, representing nearly 3% of its global workforce. This decision is part of a strategic shift to intensify investments in artificial intelligence (AI) and streamline operations.
Despite reporting strong quarterly earnings of $70.07 billion, Microsoft is reallocating resources to bolster its AI capabilities. The company plans to invest up to $80 billion in fiscal year 2025 to expand AI infrastructure, including data centers and AI model development .
Microsoft CEO, Satya Nadella emphasized the need to “flatten management layers” to enhance agility and efficiency, aligning with the company’s AI-driven objectives .
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The layoffs affected various roles across the company, with software engineers bearing the brunt. In Microsoft’s home state of Washington, over 40% of the 2,000 layoffs were in software engineering . This trend reflects the growing role of AI in code development, with AI now contributing to up to 30% of Microsoft’s code .
Notably, even high-ranking positions were not exempt. Gabriela de Queiroz, Director of AI at Microsoft for Startups, was among those laid off; this highlights the extensive reach of the restructuring .
The layoffs spanned multiple regions, including the Bay Area, where 122 employees were let go . In Australia and New Zealand, approximately 100 positions were affected, indicating the global scale of the restructuring.
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Microsoft’s move mirrors a broader trend in the tech industry, where companies are optimizing operations and investing heavily in AI. Competitors like Meta and Google have also undertaken similar workforce adjustments to focus on AI development .
Microsoft’s decision to lay off 6,000 employees underscores its commitment to AI as a central component of its future strategy. While the move aims to position the company at the forefront of AI innovation, it also raises questions about the evolving landscape of employment in the tech industry.
Sources: Economic Times, New York Post, Business Insider, San Francisco Chronicle, The Australian, Axios
Microsoft Layoffs 2025 Microsoft Layoffs may 2025 Microsoft Layoffs programmers because of ai Microsoft layoff 6000 employees Microsoft lays off employees
Microsoft Layoffs 2025 Microsoft Layoffs may 2025 Microsoft Layoffs programmers because of ai Microsoft layoff 6000 employees Microsoft lays off employees