Summary
Microsoft will cut up to 9,000 jobs as part of its strategy to focus more on artificial intelligence (AI). This decision is part of a larger plan to invest heavily in AI, including spending $80 billion on datacenters to support AI projects.
Key Facts
- Microsoft plans to lay off up to 9,000 employees.
- The job cuts will affect several divisions, with reports suggesting the Xbox unit may be impacted.
- Microsoft is investing $80 billion in datacenters to develop AI technology.
- The layoffs account for about 4% of Microsoft's global workforce, which totals 228,000 employees.
- Microsoft has already implemented three rounds of job cuts in 2025, including a reduction of 6,000 roles in May.
- Over 800 of the job cuts will occur in Redmond and Bellevue, Washington.
- Microsoft is focusing on AI development and has recruited AI expert Mustafa Suleyman.
- Microsoft holds a significant investment in OpenAI, the creator of ChatGPT, though their relationship has reportedly become strained.