Microsoft confirms thousands of layoffs, mostly outside the US

As reported earlier that the Tech Giant and parent organisation of Linkedin.  Microsoft is laying off many employees due to its focus shifting to Cloud technology, but now it has been confirmed by Satya Nadella, CEO of Microsoft that these layoffs are mostly done to its outside United States’s offices and mostly in the sales department.

A majority of these employee cuts will be made to positions outside the United States, the company said, according to The Washington Post.

“Today, we are taking steps to notify some employees that their jobs are under consideration or that their positions will be eliminated,” Microsoft told AFP in an e-mail. “Like all companies, we evaluate our business on a regular basis. This can result in increased investment in some places and, from time-to-time, re-deployment in others.”

As to know, Microsoft had more than 1.21 lakh employees worldwide at the end of March. Nearly 71,600 of them work in the U.S., with the remainder elsewhere.

“From large multinationals to small and medium businesses to non-profits all over the world, organisations are using Microsoft’s cloud platforms to power their digital transformation,” Nadella had said when Microsoft had reported its earnings for the first quarter of 2017.

Microsoft’s “commercial cloud” segment is on a pace to generate about $15 billion in annual revenue. More than 26 million consumers subscribe to Microsoft’s Office 365 service that includes its Word, Excel and other popular programs. That number has more than doubled in the past two years.

Nadella’s focus on the cloud has paid off for the software giant. In April, the company said that revenue from its Azure division had risen by 93% percent year on year.

Microsoft who is a Software giant and a parent organisation to many big companies like Linkedin, a social networking site for business people, this layoffs may impact its other business also as now it’s more focus is on Cloud based system like its own Azure Cloud network.

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