Microsoft is preparing to announce another round of job cuts as it continues efforts to reduce costs and streamline its operations, according to people familiar with the matter.
The planned layoffs are expected to affect thousands of employees across multiple parts of the company, including sales, consulting, and the Xbox gaming division. The move follows Microsoft's ongoing strategy of shifting resources toward high-priority areas while managing expenses.
Although the cuts will impact thousands of roles, this round is expected to be smaller than the layoffs carried out last year. Sources say fewer than 2.5% of Microsoft's global workforce of around 220,000 employees will be affected.
The people familiar with the plans spoke on condition of anonymity because the company has not yet officially announced the layoffs.