Microsoft Cuts More Jobs, Azure Impacted

Layoffs

It’s almost tradition now. Microsoft has recently decided to cut more jobs worldwide, as part of a restructuring plan that got underway after a new fiscal year began on July 1.

While the company itself has remained tight-lipped on how many employees were laid off, reports indicate that around 1,000 people were let go.

Interestingly, Reuters claimed that the Azure cloud division was also impacted by these job cuts, though we don’t have official confirmation about this right now. If true, this will be a new one for Redmond, as the cloud unit has become a money printing machine for the company.

These layoffs are, obviously, different from the 800 or so editors that Microsoft let go earlier this year.

They were part of the Microsoft News team, and we later found out that those were not job cuts, but rather vendor contracts that were not renewed. This latest round is actually part of a plan, a new restructuring that the company is pursuing.

Like all companies, Microsoft too evaluates its business on a regular basis and makes changes to its investments and workforce.

Perhaps more so than others.

But these job cuts have not come as a result of the global health crisis as a result of the coronavirus pandemic. They are due to a strategic decision, just like the recent one of closing all its retail stores that resulted in an impairment charge of $450 million.

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