Microsoft hits reset button, 6,000 jobs axed in global revamp

SAN FRANCISCO: Microsoft is cutting around 6,000 jobs worldwide as part of a major shake-up. 

The tech giant says it wants to simplify its structure and make better use of new technologies like artificial intelligence. The move is aimed at helping the company stay competitive in a fast-changing market.

The AI-focused tech giant did not disclose the total number of jobs lost, but US media reports said it would amount to about 6,000 people — around three percent of its global workforce.

That included 1,985 workers in its home state of Washington, according to a filing posted on the state’s labour affairs agency.

"We continue to implement organisational changes necessary to best position the company for success in a dynamic marketplace," a Microsoft spokesperson said in an emailed statement.

The company, which is advancing its plans to deploy AI across all its products, also said it was working to "empower employees to spend more time focusing on meaningful work by leveraging new technologies and capabilities."

Microsoft, two weeks ago, posted robust quarterly results for the January to March period, powered by a strong performance in its cloud computing and artificial intelligence businesses.

The company, which celebrates its 50th anniversary this year, was one of the first tech giants to double down on artificial intelligence when the launch of ChatGPT in 2022 shook the tech industry.