Microsoft Corporation (MSFT) to Cut 4,800 Jobs
Yahoo Finance ·
Microsoft Corporation (MSFT) to Cut 4,800 Jobs Fatima Gulzar Tue, July 14, 2026 at 5:44 PM EDT 2 min read MSFT We recently published Ray Dalio Stock Portfolio: 10 Best Stocks to Buy . Microsoft Corporation (NASDAQ:MSFT) is one of Ray Dalio's best stocks to buy. On July 6, Reuters reported that Microsoft Corporation (NASDAQ:MSFT) said it will cut 4,800 jobs, or about 2.1% of its global workforce. It is restructuring its Xbox business with 3,200 gaming-related layoffs and the divestment of up to five studios. Reuters said the move follows years of heavy investment in gaming, including the Activision Blizzard acquisition. The tech giant moves toward distributing games across more platforms instead of relying on console exclusives. Chief People Officer Amy Coleman told employees, "The roles eliminated today are not being replaced by AI," and that "AI is changing how work gets done." Equisights Research CEO Parth Talsania said the cuts reflected portfolio reallocation and operating discipline rather than a new catalyst for the stock . On the other hand, D.A. Davidson Managing Director Gil Luria said Microsoft Corporation (NASDAQ:MSFT) has reduced headcount to fund AI investments while maintaining margins. Reuters said the company projected $190 billion in 2026 spending, mainly due to AI infrastructure. Microsoft Corporation (NASDAQ:MSFT) creates and supports software, services, devices, and solutions. Its business is divided into productivity and business processes, intelligent cloud, and more personal computing segments. While we acknowledge the potential of MSFT as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock . READ NEXT: 33 Stocks That Should Double in 3 Years and Cathie Wood 2026 Portfolio: 10 Best Stocks to Buy . Disclosure: None. Follow Insider Monkey on Google News .
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