AI Trims Expenses and Increases Efficiency
Microsoft reported saving ₹4,285 crore ($500 million) last year through artificial intelligence (AI). AI decreased call center costs, according to Chief Commercial Officer Judson Althoff. AI was mentioned by the company as improving internal processes and customer service.
Althoff stated that AI software is now utilized in most departments. Some of them include sales, software coding, and customer service. He added that AI integration is all part of a larger initiative to streamline operations.
Microsoft Confirms Major Layoffs
Microsoft last month announced it is letting go of 9,100 workers. This is approximately 4% of its worldwide employees. The most affected are the Xbox and gaming units. This is the fourth layoff round in 2025 for the company.
Earlier this year, Microsoft had laid off 1% of its workers. In May, it had shed another 6,000 workers. In June, it had eliminated more than 300 more jobs. Those who lost their jobs are software engineers and product developers.
The company has mentioned these layoffs are a part of its own internal plan to restructure. It seeks to align operations with its expanding AI-driven strategy.
Executive Comments on Layoffs Attract Criticism
Matt Turnbull, Xbox Game Studios Executive Producer, commented on the layoffs on LinkedIn. He recognized the emotional effect of the news. He recommended using AI tools for career advancement to laid-off employees.
He stated that AI may mitigate stress and aid in creating improved resumes. His remarks, however, drew mixed reactions on the internet, with some criticizing the tone of his message.
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