Microsoft is swinging the axe again, cutting 7,000 jobs globally with Silicon Valley engineers taking a major hit. The tech giant’s 3% workforce reduction hammers coding positions hard – over half the Valley’s cuts target software engineers. Why? AI’s getting scary good at cranking out code, now handling a third of some projects. With $70 billion in quarterly revenue, Microsoft’s message is clear: humans need not apply. This reshaping of tech jobs is just the beginning.
Microsoft is swinging the axe again, this time cutting up to 7,000 jobs globally while diving headfirst into the AI revolution. The tech giant is slashing its workforce by roughly 3%, with Silicon Valley bearing part of the blow – 122 positions getting the boot in the Bay Area alone.
The cuts hit software engineers particularly hard. No surprise there. A whopping 53% of Silicon Valley layoffs targeted coding positions, while up in Washington state, over 800 software engineering roles got zapped. That’s more than 40% of the state’s total cuts. Looks like writing code isn’t quite the golden ticket it used to be. The restructuring has also significantly impacted middle management positions, aiming to reduce organizational inefficiencies.
CEO Satya Nadella dropped a bombshell recently: AI is now cranking out about a third of some projects’ code. Talk about replacing your workforce with robots. Microsoft, currently the world’s most valuable tech company thanks to its AI investments, seems to be putting its money where its mouth is. The company achieved impressive financial results with $70 billion in revenue for Q3 of the fiscal year. These strategic changes reflect how market capitalization influences major corporate decisions in the tech sector.
AI’s takeover of coding jobs isn’t science fiction anymore – it’s Microsoft’s new reality under Nadella’s watch.
The geographical spread tells its own story. Washington state took the biggest hit with 1,985 workers affected, while Silicon Valley’s numbers look almost modest in comparison. The Bay Area’s 122 cuts included both office-based and remote workers, with their last day set for July 2025. Mountain View and Santa Clara offices are feeling the pinch.
Beyond the coding crowd, other roles weren’t spared either. Product management took the second-biggest hit, followed by technical program management. Business roles, customer experience positions, and product design jobs all landed on the chopping block. It’s like spring cleaning, except it’s people’s careers getting reorganized.
Microsoft calls it “reorganization and restructuring,” but let’s be real – when AI is writing code and the company’s going all-in on artificial intelligence, these cuts feel less like restructuring and more like a glimpse into tech’s future. Welcome to the AI gold rush, where even software engineers aren’t immune to the changing tide.
