You can run, but you can’t hide from tech layoffs. That apparently even applies to Microsoft, the world’s third most valuable company.
On Monday the company reportedly moved to cut less than 1,000 employees spread out across multiple divisions of its business and various regions according to an Axios report.
If confirmed, the layoffs make Microsoft the biggest name so far to shed staff in a year long downturn that’s seen at least 44,000 tech workers lose their jobs according to Crunchbase data.
For now, specific details explaining the reason for the cuts remain sparse. The layoffs come three months after Microsoft reportedly moved to cut other jobs impacting around 1% of the company as part of a broader “strategic realignment.” Microsoft did not immediately respond to Gizmodo’s request for comment but told Axios it plans to continue investing in its business. noteably, Microsoft did not deny the layoffs occurred.
“Like all companies, we evaluate our business priorities on a regular basis, and make structural adjustments accordingly,” a spokesperson said. “We will continue to invest in our business and hire in key growth areas in the year ahead.”
Layoffs and so-called “realignments” have impacted just about every corner of the tech industry, from young Web3 hopefuls to established streaming giants and just about everything in between. snaps, Patreonand flipboard all added their names to the unfortunate list in recent months. Others, like Amazon and Meta, meanwhile haven’t joined the layoff camp but have announced hiring freezes in an effort to stop the bleeding.
Still, Microsoft’s cuts come as somewhat of a shock. While other tech giants like Meta and Google have telegraphed potential cuts for months and even encouraged their own under performing employees to walk out the door, Microsoft remained relatively quiet on the issue. On paper, Microsoft wasn’t as susceptible to the effects of a worsening digital advertising marketand it appeared, at least, that it hadn’t over-extended itself with unusual investments and mad hiring during the pandemic like some other firms.