Microsoft seems to be following the trend of tech industry layoffs in 2024. Business Insider, citing anonymous sources, reported that the company is cutting jobs at its Azure cloud unit. These cuts are expected to impact hundreds of employees, with teams like Azure for Operators and Mission Engineering taking the biggest hit. One source familiar with the situation estimated that the Azure for Operators team alone could see as many as 1,500 job cuts.
Microsoft, in a statement to Reuters, acknowledged the workforce adjustments but downplayed their significance. They emphasized that these are routine practices used to manage the business and prioritize areas with higher growth potential for the future. This news comes after Microsoft shed 1,900 jobs at Activision Blizzard and Xbox earlier this year in January. Other tech giants like Amazon and Salesforce have also had to resort to layoffs in 2024.
While Microsoft is making these cuts, their Azure cloud business appears to be thriving. This growth can likely be attributed, at least in part, to the company’s significant investments in artificial intelligence (AI). Another factor is their strategic partnership with OpenAI, the creators of the popular AI tool ChatGPT. This partnership gives Microsoft access to cutting-edge AI technologies that give them a competitive edge.
The teams directly affected by the layoffs, Azure for Operators and Mission Engineering, belong to a larger organization called Strategic Missions and Technologies (SMT). This group, formed in 2021, focuses on pioneering technologies like quantum computing and space exploration, according to Business Insider.
In a separate but related development, Microsoft is restructuring its mixed reality organization. However, the company wants to assure everyone that they are still committed to mixed reality technology. They plan to continue selling their HoloLens 2 augmented reality headset. This news follows reports from 2022 that suggested Microsoft had scrapped development plans for the HoloLens 3. It seems Microsoft is refocusing its efforts within the mixed reality space.
The teams directly impacted by the layoffs, Azure for Operators and Mission Engineering, belong to a larger organization called Strategic Missions and Technologies (SMT). Formed in 2021, this group focuses on pioneering technologies that push the boundaries of human achievement. According to Business Insider, their pursuits include the fascinating realms of quantum computing and space exploration. Imagine a world where quantum computers can revolutionize drug discovery or where space exploration reaches new heights – these are the kinds of ambitious goals SMT strives for.
In a separate but related development, Microsoft is restructuring its mixed reality organization. This might raise concerns about their commitment to the technology. However, Microsoft wants to assure everyone that they are still bullish on mixed reality. They plan to continue selling their HoloLens 2 augmented reality headset, a product aimed at revolutionizing how we interact with the digital world. This news follows reports from 2022 that suggested Microsoft had scrapped development plans for the HoloLens 3. It seems Microsoft is taking a step back to reassess their mixed reality strategy, possibly focusing on refining the HoloLens 2 or exploring new directions within this exciting field.
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