New Delhi– Tech giant Microsoft has laid off several hundred additional employees, continuing a wave of job cuts that reflect the company’s strategic pivot toward artificial intelligence.
According to a filing with Washington state’s Employment Security Department, 305 employees in Redmond have been let go. This comes just weeks after Microsoft announced it would eliminate nearly 6,000 jobs globally—about 3% of its total workforce.
A company spokesperson confirmed the latest layoffs are part of broader organizational changes aimed at aligning Microsoft’s structure with its evolving market priorities. “We continue to implement organizational changes necessary to best position the company for success in a dynamic marketplace,” the spokesperson said.
Microsoft CEO Satya Nadella addressed the layoffs during a recent internal town hall, emphasizing that the job cuts were not performance-related. Instead, he said the move was a necessary step in realigning teams as the company deepens its focus on AI-driven initiatives.
While acknowledging the emotional weight of the decision, Nadella reiterated that the restructuring was about adapting to future growth, not shortcomings in talent or productivity.
At the recent Microsoft Build 2025 conference, Chief Communications Officer Frank X. Shaw highlighted the company’s accelerating shift into what he called the “era of AI agents.”
“Thanks to breakthroughs in reasoning and memory, AI models are becoming more efficient and capable,” Shaw said. “For instance, over 15 million developers are now using GitHub Copilot, with features like agent mode and code review revolutionizing how they code, test, and troubleshoot.”
Microsoft’s AI-driven tools are also seeing widespread adoption in the enterprise sector. More than 230,000 organizations — including 90% of Fortune 500 companies — have used Copilot Studio to create AI agents and automated workflows. Additionally, hundreds of thousands of users are relying on Microsoft 365 Copilot to support research, brainstorming, and content development.
The continued layoffs underscore Microsoft’s strategic shift toward artificial intelligence, as the company reallocates resources to cement its leadership in a rapidly transforming tech landscape. (Source: IANS)
