Overview

• Microsoft will cut thousands more jobs primarily in its sales and marketing divisions after its fiscal year-end.
• This follows May’s reduction of 6,000 roles focused on product and engineering as part of its ongoing restructuring.
• The layoffs are designed to manage expenses as Microsoft deploys tens of billions into AI infrastructure such as servers and data centers.
• The company will outsource software sales for small and mid-size customers to third-party firms to streamline operations.
• Microsoft employs about 228,000 people, including roughly 45,000 in sales and marketing, and leadership emphasizes cost control to propel Azure and AI growth.