Published: Sat, July 08, 2017
Tech | By Dwayne Harmon

Microsoft slashes 3000 jobs as company shifts focus to cloud services

Microsoft slashes 3000 jobs as company shifts focus to cloud services

Microsoft has confirmed a round of layoffs said to impact about 10 percent of its total salesforce, or approximately 3,000 workers, with the majority outside of the USA, according to several reports on Thursday. The moves were expected to impact thousands at the company known as "Mr. Softee", as it works to reorganize its sales team.

Microsoft's about to slash about estimated 3,000 jobs, mostly from its sales and customer support operations outside the USA, as it shifts its focus to its cloud business operation. Microsoft has employed 121,567 worldwide as of March 31 which includes 45,535 in Washington State.

First reported by the Puget Sound Business Journal late last week, Microsoft's business reshuffling could result in layoffs.

The news comes shortly after the close of Microsoft's fiscal year, which has traditionally been the time the company unveils its plans to cut its number of employees. Like all companies, ' the unnamed spokesperson continued, 'we evaluate our business on a regular basis.

Microsoft will be laying off around 3000 employees' from their sales division as a result of their reorganisation.

CNBC says the layoffs are part of a "major reorganization".

"Microsoft is reducing the size of its direct sales force, particularly in SMB, pushing more to partners or self-service", said Allen Falcon, CEO of Westborough, Mass. -based Cumulus Global. Yet in between the heavily hyped launches of services like updates to their Windows 10 operating system or the latest version of their Surface Pro hybrid laptop, it still can not help but remind its people that it is still a tech company that has its job positions riding on the whims of the latest innovation. Its specific cloud service product, Azure, increased 93 percent last quarter, according to CNBC.

Microsoft Ireland is also set to move into a new campus in Leopardstown before the end of the year, in a €134 million investment in the company.

The company has already communicated its decision to the affected employees.

The report added that Microsoft was going to specifically focus on how it sells its cloud-services product, Azure.

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