Microsoft cuts 830 jobs in Washington amid shifting business focus
Microsoft has confirmed that 830 employees in its home state of Washington have been let go as part of the company’s latest round of layoffs. The cuts are part of a larger plan to eliminate 9,000 positions across the organization.
According to documents filed with Washington state employment officials, the layoffs affected a wide range of roles. Nearly a dozen game designers were impacted, along with three audio designers, two mechanical engineers, an optical engineer, and a lab technician.
Roles Affected Across Divisions
Other departments also saw significant reductions. Microsoft Research lost five individual contributors and a manager. Legal teams were hit as well, with ten lawyers laid off, while the hardware division cut six engineering positions.
In the sales organization, 16 customer success account managers, 28 staff in sales strategy enablement, and five in sales compensation were let go. One government affairs employee in Washington was also included in the layoffs.
The company eliminated 17 cloud solution architecture jobs in the state. Ironically, Azure and related cloud services remain among Microsoft’s fastest-growing revenue streams.
A person familiar with the decision told CNBC the goal of these reductions is to streamline operations and focus teams on higher-value projects, saying:
“The company is working to eliminate redundancy and encourage employees to concentrate on more meaningful work by adopting new technologies.”
Following the announcement, many sales professionals and video game developers shared posts on social media confirming they were among those affected.
Despite the disruption, Microsoft hasn’t issued a public statement specifically addressing the cuts in Washington. CEO Satya Nadella has remained silent, and the company declined to comment further. Earlier this year, CFO Amy Hood emphasized Microsoft’s focus on controlling expenses, noting the company had a “focus on cost efficiencies” during the March quarter.
The layoffs come as Xbox content and services revenue increased by 8% in April trailing behind Microsoft’s overall growth rate of 13% highlighting the shifting priorities and ongoing pressure facing the tech giant.
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