Microsoft Moves to Minimize Manpower Amid Mounting Costs
Microsoft has announced plans to lay off approximately 4% of its global workforce, according to a report by Reuters. The technology giant currently employs around 228,000 people worldwide.
This move comes just weeks after a previous round of layoffs in May, which saw nearly 6,000 employees dismissed. The decision is reportedly driven by rising operational costs fueled by massive investments in artificial intelligence infrastructure, resulting in shrinking profit margins.
Projections indicate that Microsoft’s capital expenditures for the fiscal year 2025 could exceed $80 billion.
Additionally, the company’s Barcelona-based King Studio is laying off around 10% of its staff—approximately 200 employees—while cuts are also being made across its gaming division.
Microsoft is not alone. Tech titans such as Meta (Facebook’s parent company), Alphabet (Google’s parent), and Amazon have also recently implemented sweeping layoffs. Industry analysts note that these measures are part of broader efforts by major technology firms to scale down operations in response to escalating costs and growing economic uncertainty.
