San Francisco, May 31: Microsoft CEO Satya Nadella stated that the mass layoffs affected around 6,000 positions. The reports mentioned that Microsoft layoffs were announced amid organisational changes and that the tech giant focused on AI and data centre spending. The layoffs affected various roles at Microsoft, including those working at the senior levels. 

The Microsoft job cuts primarily affected engineering roles from its global workforce. After weeks of announcing Microsoft layoffs, CEO Satya Nadella said the decision was not related to performance but rather was a part of internal restructuring. He said nothing about artificial intelligence (AI) being directly involved in workforce reduction. LinkedIn Layoffs: Microsoft-Owned Platform Cuts 281 Jobs Across California Amid Ongoing Restructuring, Engineers Affected.

Microsoft CEO Satya Nadella addressed the staff during the companywide town hall meeting, saying that the layoffs were necessary and that they were implemented to realign teams as per the evolving priorities at the company. Reports said the growing focus he addressed about was on AI. Satya Nadella acknowledged the emotions of the employees who were affected. However, the action was taken due to the strategic shifts and not the shortcomings of the talent and productivity.

Microsoft layoffs affected the engineers and veterans who had been working with the company for a more extended period. The affected employees started posting online about how they were asked to leave the company and what they felt. Among the affected was Microsoft's AI Director, Gabriela De Queiroz. Amid the rising competition between the leading companies over artificial intelligence, layoffs have become inevitable in tech sector. Business Insider Layoffs: US-Based News Company Embraces AI for Operations, Announces Cutting 21% of Workforce in Every Department, Says Report.

During the event, Microsoft's executives highlighted the company's success in selling AI tools to enterprise customers. It was revealed by Microsoft's COO (Chief Commercial Officer) Judson Althoff that UK's banking giant Barclays was committed to purchasing 1,00,000 licenses for Microsoft Copilot assistant, and other companies, including Siemens, Toyota, VW, and Accenture also had increased users for the same tool.

(The above story first appeared on LatestLY on May 31, 2025 01:36 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).