Microsoft mass layoffs: Thousands of jobs cut, Xbox division hit hard

A bad day for Microsoft.
 By 
Tim Marcin
 on 
microsoft logo on a building
Credit: Matthias Balk/picture alliance via Getty Images

Microsoft is planning to cut thousands of jobs, its biggest round of layoffs in years.

The company confirmed it is going to layoff around 9,000 people — about 4 percent of its workforce — on Wednesday, according to a report from The Seattle Times. While the exact makeup of the layoffs remains unknown, The Verge reported employees in Microsoft's gaming division — folks who work on Xbox — have been hit particularly hard.

Layoffs have become a fact of life at Microsoft lately. These new layoffs follows some 6,000 jobs getting cut less than two months ago. The latest round of layoffs mark the biggest cut, however, since 2023, when the company cut 10,000 jobs.

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The job cuts don't mean Microsoft isn't spending — its thrown billions of dollars into AI investments, which, thus far, haven't proven lucrative. The company, meanwhile, said the latest layoffs were aimed at setting the company up for the future.

"We continue to implement organizational changes necessary to best position the company and teams for success in a dynamic marketplace," a Microsoft spokesperson told CNBC.

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Tim Marcin
Associate Editor, Culture

Tim Marcin is an Associate Editor on the culture team at Mashable, where he mostly digs into the weird parts of the internet. You'll also see some coverage of memes, tech, sports, trends, and the occasional hot take. You can find him on Bluesky (sometimes), Instagram (infrequently), or eating Buffalo wings (as often as possible).

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