Microsoft has laid off approximately 1000 of its employees across the company including at Xbox
Microsoft has confirmed that they are laying off nearly 1000 employees worldwide.
This move comes after Microsoft suffered a share drop of nearly 30%. Meanwhile, the tech-heavy Nasdaq Composite Index has declined by more than 31%.
Microsoft said in a statement to ABC News:
“Like all companies, we evaluate our business priorities on a regular basis, and make structural adjustments accordingly. We will continue to invest in our business and hire in key growth areas in the year ahead.”
Even though this seems to be a significant job loss it affects less than 1 percent of Microsofts 221,000 employees worldwide.
Microsoft also stated that even though they are cutting jobs they will continue to hire in “key growth areas.” And although they could not provide a specific number. They did state that the organization as a whole will be losing close to 1000 positions.
Microsoft is the latest tech firm to lay off staff as Meta, Intel and even Google have also recently reduced staff significantly.
Veteran employees like KC Lemson, a product manager in the chief technology officer’s office. and Greg Chapman, who has worked for the business for more than ten years, are among the well-known names who have officially left.
As well, Studio Alpha was reported as one of the departments that were closed. The company produces cloud-based wargame simulations for military and commercial clients as part of its “serious gaming initiative”.
Greg Chapman which was the principal architect at Studio Alpha stated in a tweet:
“Today me and my entire team were laid off. 12 years here at Microsoft, and 25 in game development. Details shortly once the shock wears off,”
Employees of Microsoft’s Mission Engineering team, which researched space technology, were informed via email that the team would be “deprioritizing work already underway”. And that team leaders would be coordinating with personnel who are “part of a prioritization change” to “wrap up existing work and determine next steps.”
On Tuesday after markets close, Microsoft will announce its latest quarterly earnings.
This news has naturally come as a bit of a shock as Microsoft is one of the largest companies worldwide. We will however be keeping tabs on the situation as it develops.