Microsoft has initiated a new round of layoffs at the close of its fiscal year, marking the third personnel cut this year. Although the exact number of affected employees has not been specified yet, reports indicate that product and program management teams have been the most impacted.
A Year of Continuous Adjustments
This new wave of layoffs adds to the approximately 1,000 jobs cut last month in the Azure cloud and mixed reality teams, and the around 2,000 layoffs in the gaming division in January. Microsoft has justified these cuts as “organizational and personnel adjustments” necessary to manage a business in a rapidly evolving technological sector.
Industry Context
Microsoft is not alone in this tough process. The entire technology sector has seen over 100,000 layoffs since 2023, as companies struggle to balance growth and profitability in a tumultuous and highly competitive economic environment.
Microsoft’s Justification
In a statement, Microsoft defended that these adjustments are a normal part of business management in a constantly changing technological landscape. The company continues to adapt to market demands and innovation, trying to maintain its competitiveness and efficiency.
Impact and Reactions
The news of the layoffs has generated mixed reactions inside and outside the company. While some analysts understand these moves as necessary for the company’s survival and adaptation in a challenging market, others criticize the negative impact on employee morale and job stability.
In summary, Microsoft continues to face the complexities of the global technological market, adjusting its organizational structure in search of a balance between innovation and operational efficiency. The effects of these cuts and the industry’s response will be crucial to observe in the coming months.