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Microsoft to announce thousands of layoffs: AI to blame

Microsoft to announce thousands of layoffs: AI to blame

Another dark year for jobs in the tech industry? After Intel, which announced massive layoffs of 15% to 20% of its Foundry division's workforce, another giant, and not the least, could follow suit. According to a Bloomberg report, supported by Reuters, Redmond plans to cut thousands of jobs, particularly in the sales division.

According to sources cited by Bloomberg, Microsoft is looking to reduce its workforce while increasing its investments in artificial intelligence. According to Bloomberg, some of these job cuts are directly related to the integration of AI tools into relevant business processes. This decision is expected to be made official within a month, just after Microsoft announces its financial results. The company employs some 228,000 people, according to the latest official figures from last June.

After Intel and Microsoft, is it Amazon's turn?

For Microsoft, as for Intel, this is not the first time in recent months that drastic job cuts have been announced. Last summer, Intel already laid off 15,000 employees, or 15% of its workforce. For its part, Microsoft is not at its first layoff plan in 2025, since a first sinister wave had already hit 6,000 employees last May.

It is not only the historical giants of the sector that are affected by cuts linked to AI. Earlier this week, it was Amazon CEO Andy Jassy who admitted bluntly that the deployment of AI tools would reduce the number of employees at the company over the next few years.

Source: Bloomberg

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