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Microsoft cuts nearly 5000 jobs amid AI shift
Microsoft announced the layoffs of approximately 4,800 employees, equivalent to 2.1% of its workforce, at the start of its new fiscal year. The focus was on the sales and Xbox gaming sectors, where around 1,600 jobs are being cut as part of a plan to reduce about 20% of Xbox positions before the end of the fiscal year. The company explained that artificial intelligence is transforming internal workflows, leading to the reallocation of some staff or the sale of gaming studios to refine its strategy. Additionally, Microsoft launched voluntary retirement programs, resulting in over 30% of eligible employees choosing to retire, while the company continues to study measures to support those affected.
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