Microsoft will cut roughly 4,800 roles, about 2.1% of its global workforce,
primarily in sales and the Xbox gaming division. The company had more than
220,000 employees before the reduction. Microsoft is trimming costs while
increasing AI infrastructure spending and faces investor concern that AI could
disrupt traditional software revenue. Last year the firm cut about 6,000 jobs in
May and a further 9,000 in July (around 4% of staff). Earlier this year
Microsoft offered a voluntary retirement buyout in the U.S. to employees at or
below grade 67 with long service; of roughly 9,000 eligible staff, about
one-third accepted, helping keep this year's layoff rate below last year's
level.
