What AI hides: Microsoft announces layoffs of 9,000 workers worldwide

Major US technology companies are stepping on the gas in AI development. The competition between firms in the sector is intensifying, especially after Meta acquired 49% of Scale AI , a company specializing in providing services to improve AI models, whose client portfolio includes firms such as Microsoft. In this regard, the company founded by Bill Gates is planning to discontinue its business with Scale AI, while simultaneously implementing a strategy to reorganize its resources and strengthen the performance of its AI . This move includes staff cuts.

Microsoft announced this Wednesday that it will lay off nearly 9,000 employees , representing just under 4% of its global workforce. The layoffs are expected to occur across various teams, geographic locations, and experience levels.

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

The tech giant, which celebrated its 50th anniversary this year, has already carried out several rounds of layoffs this year. In January, it cut less than 1% of its workforce; in May, it cut more than 6,000 jobs; and at least 300 more in June.

Microsoft reported nearly $26 billion in net income , on $70 billion in revenue for the March quarter, exceeding market estimates. At the same time, Microsoft continues to be considered one of the most profitable companies in the S&P 500 index.

This move by Microsoft comes at a time when the firm is stepping on the gas in AI. Recently, the firm revealed details of a new AI system capable, according to the company itself, of outperforming doctors when making complex medical diagnoses, paving the way for the development of " medical superintelligence ." The American company indicated that this intelligent system was developed with OpenAI's AI model O3 and has managed to "solve" more than eight out of ten case studies.

The combination of AI advancements and layoffs has prompted consideration of a potential resource reorganization strategy aimed at strengthening the firm's capabilities in developing this new technology. In fact, other firms such as Amazon are also implementing a similar plan: recently, the tech giant founded by Jeff Bezos decided to eliminate jobs in its book division, specifically in the Goodreads and Kindle departments. This staff cut, which affected fewer than 100 employees according to the firm, comes on top of the layoffs implemented in recent weeks in the platforms, services, communications, retail, and Wondery departments, its podcast branch.