Microsoft confirms job cuts, signalling a slowdown in growth.


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Microsoft has confirmed that it will be cutting 2,850 jobs, with most of the affected employees working in the company’s mobile division and former Nokia division. In October 2016, Microsoft had acquired Nokia’s device division, bringing in more than 30,000 new employees to Microsoft as a result. During the acquisition, Microsoft had said that it would be cutting $600 million per year in costs in addition to having an overall positive impact on revenue growth.

With Microsoft A representative for the business said on Monday that more employees had been let go as the software maker’s income was predicted to decline due to decreased sales of Windows licences for PCs.

The action fits with efforts being made by both large and small technology enterprises to save expenses. Platforms Meta both Salesforce
are some of the companies in Silicon Valley that have reduced recruiting this year, despite Coinbase
the Netflix and other people have used layoffs.

According to a Microsoft spokeswoman speaking to CNBC, “like other firms, we examine our business goals on a regular basis and make structural modifications accordingly.” In the upcoming year, “We will continue to invest in our business and employ in important growth areas.”

The disclosure on Monday comes three months after Microsoft claimed to have cut fewer than 1% of its workforce.

Microsoft predicted a 10% revenue increase in the first quarter of the fiscal year in July, which was the slowest forecast in more than five years. On October 25, the corporation will report its financial results.

Less than 1,000 individuals were affected by the layoffs, according to Axios, which first reported them earlier on Monday and cited an unidentified source.


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