Microsoft Plans Fresh Job Cuts
Yahoo Finance ·
Microsoft Plans Fresh Job Cuts Faizan Farooque Wed, July 1, 2026 at 3:19 PM EDT 1 min read MSFT This article first appeared on GuruFocus . Microsoft ( MSFT , Financials ) is reportedly preparing another round of layoffs as it keeps a close eye on costs. Warning! GuruFocus has detected 2 Warning Sign with MSFT. Is MSFT fairly valued? Test your thesis with our free DCF calculator. Business Insider reported that the company could announce layoffs as early as next week. The cuts are expected to affect fewer than 2.5% of Microsoft's workforce. That may sound small, but Microsoft is a large company. It had about 228,000 full-time employees as of June 30, 2025, so even a modest cut could still mean thousands of jobs. The report said sales, consulting and Xbox roles could be included. Microsoft declined to comment, and Reuters said it could not verify the report. The timing fits a broader pattern in big tech. Microsoft is still spending heavily on AI, cloud capacity and data centers. At the same time, it is looking for places to reduce costs. Xbox has also been under pressure after console price increases and reports of budget cuts.
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