Microsoft is planning to cut hundreds of jobs in its Azure cloud division, according to a report by Business Insider on Monday. This decision contributes to the numerous layoffs that have hit the technology and media sectors this year.
The layoffs will affect teams such as Azure for Operators and Mission Engineering. The report indicates that the Azure for Operators team may face as many as 1,500 job cuts, based on sources familiar with the situation.
Big tech CEOs like copying each other. If Google can layoff hundreds on its cloud division after $23B of profits in a quarter, Microsoft can as well with $21.9B in quarterly profits in the same quarter. pic.twitter.com/DD43MgNFTF
— Dare Obasanjo🐀 (@Carnage4Life) June 3, 2024
These layoffs follow the company’s previous reduction of 1,900 jobs at Activision Blizzard and Xbox in January. Other tech companies like Amazon.com (AMZN.O) and Salesforce (CRM.N) have also laid off several hundred employees in 2024.
Microsoft is laying off around 1,000 employees today in the Azure for Operators and Mixed Reality orgs. Microsoft says it will continue to sell and support HoloLens 2 and will continue with the Department of Defense’s IVAS program https://t.co/Lfp4xlW9AK
— Tom Warren (@tomwarren) June 4, 2024
Microsoft’s Azure cloud is seeing rapid growth due to significant investments in AI and its strategic partnership with OpenAI, the creator of ChatGPT.
The Azure for Operators and Mission Engineering teams are part of the Strategic Missions and Technologies organization, established in 2021 to focus on quantum computing and space, according to Business Insider.
Additionally, Microsoft has begun restructuring its mixed reality division but will continue selling its augmented reality headset, the HoloLens 2, as confirmed by a spokesperson on Monday. Business Insider had reported in 2022 that Microsoft had canceled plans for HoloLens 3.
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Abdul Rehman
Abdul is a tech-savvy, coffee-fueled, and creatively driven marketer who loves keeping up with the latest software updates and tech gadgets. He's also a skilled technical writer who can explain complex concepts simply for a broad audience. Abdul enjoys sharing his knowledge of the Cloud industry through user manuals, documentation, and blog posts.
