The layoff trend seems to be spreading like wildfire. After numerous IT giants are said to have laid off hundreds of employees in the last few months, Microsoft too seems to be jumping on the bandwagon. The American multinational technology company is likely to lay off thousands of its employees in a massive corporate rejig.
While the job cuts have been predicted for a while, it is only now that the company has spoken about it. "Microsoft is implementing changes to better serve our customers and partners," a Microsoft spokesperson told AFP. The job cut is likely to affect the sales and marketing staff the most.
While the exact intention behind the rejig is yet to be known, GeekWire is said to have got hold of a document, which it indicated were excerpts from the Microsoft memo, and it says that this is a part of the company's plans to help its customers with "digital transformations."
Like most companies, Microsoft too intends to now focus more on cloud computing and business services instead of just software. "From large multinationals to small and medium businesses to non-profits all over the world, organizations are using Microsoft's cloud platforms to power their digital transformation," Chief Executive Satya Nadella had earlier said.
Judson Althoff, Microsoft's executive vice president of worldwide commercial business, has said that the reorganisation is designed to "align the right resources for the right customer at the right time," reported the Verge.
Additionally, Microsoft is also faring well in its cloud computing and business services, which is said to have affected its "personal computing" figures. The Redmond-based company said that its revenue from "Intelligent Cloud" rose 11 percent compared to last year.
Meanwhile, this is not the first time that the company is making such massive changes to its strategy. It has announced quite a few job cuts in the last few years, the most talked about being 18,000 positions removed in 2014. The tech giant laid off 7,800 employees in 2015, and 4,700 in 2016.
