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In Could 2025, Microsoft introduced that it is laying off more than 6,000 employees, round three % of the company’s entire workforce. In June 2024, Microsoft introduced it might be laying off 1,000 staff from the corporate’s combined reality and Azure cloud computing divisions. The announcement got here a day after internet hosting a Sting concert for 50 folks, together with Microsoft executives, in Davos, Switzerland. The acquisition positioned Microsoft to develop its presence available in the market of offering online education to giant numbers of individuals. The increased necessity for remote work and distance education drove demand for cloud computing and grew the corporate’s gaming sales.
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The cuts affected a quantity of divisions, together with Xbox, with 830 positions eradicated at its Redmond, Washington headquarters. In July 2025, Microsoft announced one other round of layoffs, slicing roughly 9,000 workers in its largest workforce discount in over two years. The layoffs primarily affected Activision Blizzard staff, however some Xbox and ZeniMax employees had been also affected. For the first time in 20 years Apple Inc. surpassed Microsoft in Q quarterly earnings and revenues as a end result of a slowdown in PC gross sales and continuing big losses in Microsoft’s Online Services Division (which accommodates its search engine Bing).
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